What can be concluded from Milton Friedman and Edmund Phelps' expectations-augmented Phillips curve?
A) that there is no long run tradeoff between unemployment and inflation
B) that there is a short run tradeoff between unemployment and inflation
C) that there are two types of Phillips curves
D) all of the above
E) none of the above
D
You might also like to view...
Over the long run, a government's fundamental source of revenues is
A) printing money. B) user fees and taxes. C) exports. D) gold sales.
Mike is maximizing utility by working 10 hours a week and studying 10 hours a week. Mike has only 20 hours to devote to either working or studying. If Mike realizes that another hour of studying will improve his grade on an exam, thus raising the utility of another hour of study, Mike will:
A. work fewer hours, shifting his labor supply curve to the left. B. study less to raise the marginal utility of studying even more. C. work fewer hours, moving him down along his labor supply curve. D. substitute work for studying, raising his total utility.