The Modern View of the Phillips Curve Suggests That

question 10

Multiple Choice

The modern view of the Phillips curve suggests that:

• A) when inflation is reduced, unemployment will fall below the natural rate.
• B) the Phillips curve is an unstable relationship.
• C) systematic demand stimulus policies will be unable to affect prices in the long run.
• D) there will be a trade-off between inflation and unemployment in the long run.

---

Definitions:

Formal Play

Structured play activities that are governed by rules and often involve social interactions or competition.

Rejecting-neglecting

A parenting style characterized by a lack of responsiveness to a child's needs and a general disengagement from the child's life.

Permissive-indulgent

A parenting style characterized by high responsiveness but low demands, leading to fewer boundaries and rules.

Authoritarian

A leadership or governmental style characterized by strict obedience to authority and often a lack of personal freedoms.