When the natural unemployment rate changes, what happens to the short-run Phillips curve? To the long-run Phillips curve?
What will be an ideal response?
When the natural unemployment rate changes, both the short-run Phillips curve and the long-run Phillips curve shift. If the natural unemployment rate increases, the Phillips curves shift rightward; if the natural unemployment rate decreases, the Phillips curves shift leftward.
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In England during the Middle Ages each village had an area of pasture on which any family in the village was allowed to graze its cows and sheep without charge
Eventually, the grass in the pasture would be depleted and no family's cow or sheep would get enough to eat. The reason the grass was depleted was A) it did not get enough rainfall. B) the area of pasture was nonexcludable and the consumption of the grass was rival. C) self-interest motives led livestock owners to raise too many cows and sheep. D) due to a policy of neglect on the part of the English government.
Tariff rates on products imported into the U.S
A) have dropped substantially over the past 50 years. B) were prohibited by the Constitution. C) reached an all time high in 2002. D) have risen steadily since 1920. E) were the government's main source of income in 2006.