Assuming demand is inelastic, if a firm wants to increase its total revenue, it should raise price

Refer to Figure 17-2. Suppose the economy is at point C in the figure above. If workers adjust their expectations of inflation, which of the following will be true?

A) Workers and firms expect inflation to be 1%. B) The short-run Phillips curve will shift to the right. C) The natural rate of unemployment is 6%. D) The economy will move from C to A. E) The short-run Phillips curve will shift to the left.

Reduced U.S. tastes for European goods would ____ the supply of euros and ____ the demand for euros. a. decrease; increase

b. not change; increase. c. increase; increase. d. not change; decrease.