Country a Has a Higher Money Supply Growth Rate and a Long-Run

question 9

Multiple Choice

Country A has a higher money supply growth rate and a long-run Phillips curve that is farther to the left than country B's.In the long run as compared to country B,country A will have

• A)lower unemployment and higher inflation
• B)higher unemployment and higher inflation
• C)lower unemployment and lower inflation
• D)None of the above is necessarily correct.

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Definitions:

DC

Direct Current, a form of electrical current that flows in one direction, commonly used in batteries and electronic devices.

Output

Information sent from the processor to a connected device via some interface. The information could be in the form of control data that will signal some device such as a motor to switch on or off or to vary the speed of a drive.

Node

A point in a network or diagram at which lines or pathways intersect or branch.