A surplus in a labor market exerts an upward pressure on the equilibrium wage rate

On the modern Phillips curve, the beginning of a recession is shown by ________

A) an upward movement along the Phillips curve to a higher inflation rate B) an upward shift of the Phillips curve leading to higher inflation rates for any unemployment rate C) a downward shift of the Phillips curve leading to lower inflation rates for any unemployment rate D) a downward movement along the Phillips curve to higher unemployment rates E) none of the above

If the supply of a good is perfectly inelastic, the price elasticity of supply will equal

A) positive infinity. B) one. C) zero. D) none of the above.