Which of the Following Is Correct According to the Long-Run

question 71

Multiple Choice

Which of the following is correct according to the long-run Phillips curve?

• A)No government policy,including changes in the money supply growth rate,can change the natural rate of unemployment.
• B)Changes in the money supply growth rate are the only means by which government policy can change the natural rate of unemployment.
• C)Monetary policy cannot change the natural rate of unemployment,but other government policies can.
• D)Monetary policy and other government policies can shift the long-run Phillips curve.

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Definitions:

Sellers

People or organizations that make products or provide services available for purchase in the marketplace.

Tax Per Unit

A tax imposed on each unit of a good or service produced or sold, often used by governments to generate revenue or discourage consumption.

Tax

A mandatory monetary contribution or different kinds of charges laid on a taxpayer by government institutions to support government expenses and diverse public costs.

Buyers Pay

The amount of money that purchasers spend to acquire goods or services.