When the Natural Unemployment Rate Increases, the Short-Run Phillips Curve

question 37

Multiple Choice

When the natural unemployment rate increases, the short-run Phillips curve ________ and the long-run Phillips curve ________.

• A) shifts upward; does not shift
• B) shifts downward; does not shift
• C) does not shift; shifts leftward
• D) shifts upward; shifts rightward
• E) shifts downward; shifts rightward

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