Given the accelerationist Phillips curve ?? = - 0.3 (U - 6 ) + ?, suppose that inflation in the preceding period was 3 percent, unemployment is 7 percent, and there is no price shock. The current inflation rate is ________
A) 2.7 percent
B) 3 percent
C) 0.9 percent
D) 3.3 percent
E) none of the above
A
Economics
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Economics
The aggregate supply curve shows the relationship between the:
a. The Consumer Price Index and the level of output. b. Real risk-free interest rate and expected inflation. c. The nation's average price level (i.e., the implicit price index) and the level of output. d. Nominal exchange rate and level of output. e. None of these answers is correct.
Economics