Author Question: What does a vertical Phillips curve in the long run imply? a. In the long run, the rate of ... (Read 74 times)

Mollykgkg · **on:** Jun 30, 2018

What does a vertical Phillips curve in the long run imply?
a. In the long run, the rate of unemployment will converge toward zero.
b. Higher inflation does not permanently reduce the rate of unemployment.
c. Higher inflation increases the rate of unemployment.
d. Higher inflation lowers the rate of unemployment.

Question 2

Generally, there is a strong positive correlation between per capita GNP and other measures of human development.
a. True
b. False
Indicate whether the statement is true or false