If People Correctly Anticipate That Inflation Will Fall by 1

question 151

Multiple Choice

If people correctly anticipate that inflation will fall by 1%, then

• A)the short-run Phillips curve shifts right and unemployment is unchanged.
• B)the short-run Phillips curve shifts right and unemployment rises.
• C)the short-run Phillips curve shifts left and unemployment is unchanged.
• D)the short-run Phillips curve would shift left and unemployment falls.

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Definitions:

Primary Source

Original materials or documents that provide direct evidence or first-hand testimony regarding a specific topic or event.

Women's Distress

Psychological or emotional suffering specifically related to or more prevalent among women, often associated with societal, relational, or systemic factors.

Androcentric Bias

A bias that prioritizes male perspectives and interests, often leading to the marginalization or exclusion of women and non-binary genders.

Equal Rights

The principle that all individuals are entitled to the same rights, opportunities, and protections under the law regardless of race, gender, age, or other characteristics.