According to the Phillips Curve, Short-Term Changes in Inflation Are

question 73

Multiple Choice

According to the Phillips curve, short-term changes in inflation are due to changes in:

• A) interest rates.
• B) unemployment.
• C) short-term output fluctuations.
• D) long-term inflation.
• E) long-term output.

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Definitions:

National Debt

The net accumulation of federal budget deficits.

Rate of Unemployment

The percentage of the labor force that is jobless and actively seeking employment.

Normative Economic Statement

A statement that reflects opinions or judgments about what ought to be in economics, focusing on the desirability of certain economic policies or outcomes.

Minimum Wage

The lowest legal wage that employers are allowed to pay their workers, set by law to ensure a minimum standard of living for employees.