A Rise in the Expected Inflation Rate Leads To__________ in the Long

question 309

Multiple Choice

A rise in the expected inflation rate leads to__________ in the long -run Phillips curve and___________ In the short-run Phillips curve.

• A) no shift; an upward shift
• B) an upward shift; no shift
• C) no shift; no shift
• D) a leftward shift; an upward shift

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Definitions:

Structured

means being organized or arranged according to a predetermined or systematic plan.

Generative

In various fields, generative denotes the capacity to produce or create something, often in a way that can spontaneously derive complex structures from simpler rules.

Semantic

Relates to the meanings of words and phrases in language.

Semantics

The study of meaning in language, focusing on the relationship between signifiers, like words, phrases, signs, and symbols, and what they stand for.