Since 1995, the net interest payment as a percentage of GDP has:

If two countries participate in free trade:

A) every individual in each country will benefit. B) both countries as a whole may gain from the trade. C) one country will benefit, but the other country will experience reduced welfare.. D) neither country will benefit.

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