If Changes in Inflation Are Higher Than Expected

question 240

Multiple Choice

If changes in inflation are higher than expected

• A)the short-run Phillips curve will be positively sloped,but not vertical.
• B)the short-run Phillips curve will be negatively sloped.
• C)the short-run Phillips curve will be vertical.
• D)the long-run Phillips curve will be negatively sloped.

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Definitions:

Vroom's Normative Model

A psychological theory that describes the ways leaders can decide to engage their team in decision-making processes, based on the situation's complexity and the importance of team agreement.

Shared Information Bias

A tendency in group discussions to focus on information that all members already know, neglecting unique and potentially important information.

Group Polarization

The tendency of group discussion to intensify the preexisting views of members, leading to more extreme positions.

Normative Influence

The impact of societal norms on an individual’s behavior, often leading to conformity in order to be accepted or liked by a group.