The Idea Behind the Phillips Curve Is That ________

question 49

Multiple Choice

The idea behind the Phillips curve is that ________.

• A)when the unemployment rate is low wages will decrease
• B)tightness in the labor market puts upward pressures on wages and prices
• C)when firms raise wages to attract new workers,prices decrease
• D)all of the above
• E)none of the above

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Definitions:

Power Distance

The extent to which less powerful members of a society accept and expect that power is distributed unequally.

Individualism

A social theory favoring freedom of action for individuals over collective or state control.

Collectivism

A cultural value or social ethic that prioritizes group goals over individual ambitions, emphasizing teamwork, loyalty, and group cohesion.

Context Dependent

A term describing something that varies based on the surrounding circumstances or environment in which it exists.