The Phillips Curve Shows

question 116

Multiple Choice

The Phillips curve shows

• A)A historical (inverse)relationship between the rate of unemployment and the rate of inflation.
• B)A historical (direct)relationship between the rate of unemployment and the rate of inflation.
• C)A historical (inverse)relationship between the rate of unemployment and the rate of growth of real GDP.
• D)A historical (direct)relationship between the rate of unemployment and the rate of growth of real GDP.

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Definitions:

Vietnam War

A prolonged conflict (1955-1975) between Communist forces in North Vietnam and non-Communist forces in South Vietnam, with heavy involvement and support from the United States to the South Vietnamese government.

United States

A country in North America founded in 1776, known for its diverse population and as a leading global economic and military power.

Lose

To be unsuccessful in retaining possession or winning; the opposite of winning or finding.

Vietnam War

A prolonged conflict (1955-1975) between Communist forces in North Vietnam and the Republic of Vietnam in the South, along with its principal ally, the United States.