For the period 1961 to 1969, the Phillips curve for the United States displayed the same shape that A. W. Phillips found for the United Kingdom for the period 1861 to 1913---it was

When the nominal interest rate falls, the opportunity cost of holding money

A) decreases and there is a movement downward along the demand for money curve. B) increases and there is a movement upward along the demand for money curve. C) decreases and the demand for money curve shifts rightward. D) increases and the demand for money curve shifts rightward. E) decreases and the demand for money curve shifts leftward.

In the new Keynesian model, the ultimate effect on inflation of an anticipated aggregate demand shock is ________

A) less than if that event was unanticipated B) greater than if that event was unanticipated C) the same as would develop if that event had never occurred D) independent of whether or not that event is anticipated or unanticipated