If aggregate demand increases and expectations regarding inflation remain constant
A. the short-run Phillips curve shifts to the left.
B. the short-run Phillips curve shifts to the right.
C. the economy moves along the short-run Phillips curve.
D. the long-run Phillips curve shifts to the right.
Answer: C
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The marginal tax rate can be calculated by which of the following formulas?
A) the change in taxes due divided by the change in taxable income B) the change in taxable income divided by the change in taxes due C) total taxes due divided by total taxable income D) total taxable income divided by total taxes due
The quantity of raspberries sold at a local store increases from 100 pints to 1,500 pints when the price is reduced from $4.00 to $1.00. In this situation, the absolute price elasticity of demand for raspberries is approximately
A) 0.69. B) 6.7. C) 1.46. D) 4.3.