A Decrease in Expected Inflation Shifts Which of the Following

question 134

Multiple Choice

A decrease in expected inflation shifts which of the following curves, and in what direction?

• A) It shifts the short-run Phillips curve right.
• B) It shifts the short-run Phillips curve left.
• C) It shifts the long-run Phillips curve right.
• D) It shifts the long-run Phillips curve left.

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Definitions:

Ovum

The female reproductive cell or egg, which, when fertilized by a sperm, can develop into an embryo.

Blastocyst

A stage of early development in mammals that consists of a spherical outer layer of cells, enclosing a fluid-filled cavity and a cluster of cells.

Embryo

An early stage of development for multicellular organisms, in humans it refers to the period from fertilization until the eighth week.

Uterus

A female reproductive organ where a fetus develops during pregnancy.