The Long-Run Response to an Increase in the Growth Rate

question 37

Multiple Choice

The long-run response to an increase in the growth rate of the money supply is shown by shifting

• A)the short-run and long-run Phillips curves left.
• B)the short-run and long-run Phillips curves right.
• C)only the short-run Phillips curve left.
• D)only the short-run Phillips curve right.

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Definitions:

Incorporation Theory

A principle in United States law that ensures states cannot enact laws that take away the constitutional rights of American citizens that are enshrined in the Bill of Rights.

Bill of Rights

The first ten amendments to the United States Constitution, guaranteeing specific freedoms and protections to American citizens.

Incorporation Doctrine

The legal concept that the Bill of Rights applies to state governments as well as the federal government through the Fourteenth Amendment's Due Process Clause.

Gitlow v. New York

A landmark Supreme Court case in 1925 that ruled the Fourteenth Amendment to the U.S. Constitution extended the First Amendment's provisions protecting free speech and free press to the states.