Author Question: If the government places a new tax on the hiring of workers, then we would expect a. both the ... (Read 81 times)

mpobi80 · **on:** Jun 30, 2018

If the government places a new tax on the hiring of workers, then we would expect

a. both the short run and long run Phillips curve to shift to the right.
b. both the short run and long run Phillips curve to shift to the left.
c. the long run Phillips curve remains unchanged while the short run Phillips curve shifts to the right.
d. the short run Phillips curve remains unchanged while the long run Phillips curve shifts to the right.
e. none of the above.

Question 2

The persistent problem of inflation, beginning in the late 1960s, had its causes in all of the following except

(a) The full-scale entrance of the United States into the Vietnam War in 1965
(b) Oil shocks in the 1970s
(c) Rising production costs in almost every sector in the economy due to rising energy costs
(d) Rising corporate taxes which raised the cost of doing business