Author Question: If the short-run Phillips curve shifts to the right, we can conclude that: a. the trade-off between ... (Read 59 times)

lak · **on:** Jun 30, 2018

If the short-run Phillips curve shifts to the right, we can conclude that:
a. the trade-off between inflation and unemployment has improved over time.
b. the trade-off between inflation and unemployment has worsened over time.
c. the inflation rate associated with any given level of unemployment has declined.
d. the unemployment rate associated with any given inflation rate has declined.
e. the trade-off between inflation and unemployment has remained unchanged.

Question 2

If a nonbinding price floor is imposed on a market, then the
a. quantity sold in the market will decrease.
b. quantity sold in the market will stay the same.
c. price in the market will increase.
d. price in the market will decrease.