Consider a Nation Experiencing the Relationship Illustrated by the Short-Run

question 90

Multiple Choice

Consider a nation experiencing the relationship illustrated by the short-run Phillips curve. An increase in both unemployment and inflation in this nation over the next ten years can be explained by:

• A) a downward movement along the short-run Phillips curve.
• B) a series of outward shifts of the short-run Phillips curve.
• C) an upward movement along the short-run Phillips curve.
• D) a series of inward shifts of the short-run Phillips curve.
• E) a complete change in the slope of the Phillips curve.

---

Definitions:

Classical Conditioning

A learning process in which a neutral stimulus becomes associated with an inherently meaningful stimulus and acquires the capacity to evoke a similar response.

John B. Watson

A prominent psychologist and the founder of behaviorism, emphasizing the study of observable behavior over the mind.

Generalized Expectancies

Beliefs about how often actions lead to rewards versus punishment.

Reinforcement Value

How enticing a particular reward is.