One Implication of the Long-Run Phillips Curve Is That

question 248

Multiple Choice

One implication of the long-run Phillips curve is that

• A) economic policies to keep the unemployment rate below its natural rate will lead to accelerating inflation.
• B) in the long run, the government can accurately estimate the natural rate of unemployment.
• C) in the long run, the curve becomes upward sloping.
• D) the natural rate of unemployment must be lowered to zero.

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Definitions:

Strategic Contingencies

Critical factors affecting organizational effectiveness that are controlled by a key subunit.

Organizational Effectiveness

The degree to which an organization achieves its goals and objectives efficiently and effectively.

Subunit Power

The degree of power held by various organizational subunits, such as departments.

Contracted Out

The process of hiring external organizations or individuals to perform services or tasks rather than using in-house resources.