Which of the Following Does the Long-Run Phillips Curve Tell

question 18

Multiple Choice

Which of the following does the long-run Phillips curve tell us?

• A) That the Fed can select any rate of unemployment it wants in the long run
• B) That the Fed can select any rate of inflation and unemployment rate it wants in the long run
• C) That the Fed can select neither the rate of inflation nor the rate of unemployment in the long run
• D) That there is a tradeoff between the rate of inflation and the rate of unemployment in the long run
• E) That the Fed can select any rate of inflation it wants in the long run

---

Definitions:

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired; a response that is at first elicited by the second stimulus is eventually elicited by the first stimulus alone.

Unpleasant Stimuli

Refers to any external factors or conditions that are disagreeable or discomforting to an individual.

Desensitization

A process in which an individual is gradually exposed to a feared object or context, diminishing their emotional response to it.

Operant Conditioning

The process by which behavior is shaped, either strengthened or weakened, by the use of incentives or deterrents.