If the Short-Run Phillips Curve Has a Very Steep Slope

question 144

Multiple Choice

If the short-run Phillips curve has a very steep slope, the

• A)structural deficit will grow during inflation.
• B)structural deficit will fall during recession.
• C)inflation costs of reducing unemployment are relatively low.
• D)inflation costs of reducing unemployment are relatively high.

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Definitions:

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A medical procedure that involves deliberately provoking convulsions or seizures, often used for therapeutic purposes in the past, such as electroconvulsive therapy for certain mental disorders.

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The passage of electrical current through a part of the body, causing a sudden and often painful reaction, which can be used in various medical treatments or occur accidentally.

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