Over the Long Run the Volcker Disinflation

question 173

Multiple Choice

Over the long run the Volcker disinflation

• A)shifted the short-run and long-run Phillips curves left.
• B)shifted the short-run, but not the long-run Phillips curve left.
• C)shifted the long-run, but not the short-run Phillips curves left.
• D)None of the above is correct.

---

Definitions:

Depreciation Expense

An accounting method allocating the cost of a tangible asset over its useful life, reflecting its consumption, wear and tear, or obsolescence.

Expected Useful Life

The estimated length of time a fixed asset will be used in normal operations.

Placed in Service

Refers to the point in time when an asset begins to be used by a business for its intended purpose, marking the start of depreciation.

Asset

Items of value owned by a company, including tangible and intangible resources, that can be converted into cash.