In 1981, the Fed
A) publicly announced an inflation reduction policy and created a recession.
B) took no action so that the inflation rate skyrocketed.
C) created an unexpected inflation reduction policy and created a recession.
D) created an unexpected inflation reduction policy and created an expansion.
E) publicly announced an inflation reduction policy and created an expansion.
The figure above shows some Phillips curves for an economy.
C
You might also like to view...
Compared to those with less economic freedom, countries with more economic freedom generally have ____ per capita GDP levels and ____ growth rates
a. lower; less rapid b. lower; more rapid c. higher; less rapid d. higher; more rapid
If a country increased the production of its capital goods, then
A) the more consumption of goods we can have today. B) the less consumption we can have today, but we will have more in the future. C) the more unemployed resources there will be in the future. D) the more unemployed resources there are today.