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A Decrease in the Level of Cyclical Unemployment Will Shift

question 164

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A decrease in the level of cyclical unemployment will shift the long-run Phillips curve.


Definitions:

Equilibrium

A state in which opposing forces or influences are balanced, often used in chemistry to describe reactions where reactants and products are formed at the same rate.

Products

Substances formed as a result of a chemical reaction, appearing on the right side of a chemical equation.

Reactants

Substances that undergo chemical changes in a reaction, transforming into products.

Equilibrium

A state in a chemical reaction where the rates of the forward reaction and reverse reaction are equal, leading to no net change in the concentration of reactants and products.

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