Which of the Following Pairs of Variables Are Explained by the Phillips

question 47

Multiple Choice

Which of the following pairs of variables are explained by the Phillips curve?

• A) The inflation rate and the change in the unemployment rate.
• B) The change in inflation and the unemployment rate.
• C) The change in inflation and the change in the unemployment rate.
• D) The money growth rate and the inflation rate.
• E) The money growth rate and the wage rate.

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Definitions:

Partnership

A Partnership is a legal form of business operation between two or more individuals who share management and profits.

Capital Accounts

Accounts on a company's balance sheet that represent the cumulative amount of equity invested by shareholders and retained earnings.

Net Income

The profit of a company after all expenses and taxes have been deducted from total revenue.

Noncumulative

Pertaining to dividends, a feature allowing a company not to pay dividends in arrears to its shareholders.