Chapter_8

Chapter_8 - Macroeconomics Test Yourself Chapter8 1. In the...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Macroeconomics Test Yourself Chapter8 1. In the Phillips curve equation, which of the following will cause a rise in the current inflation rate? a. A rise in the expected inflation rate. b. A fall in the unemployment rate. c. A rise in the markup, m . d. All of the above. e. None of the above. 2. When inflation has not been very persistent, as in the U.S. before the mid-1960s, we can expect that a. expected inflation will not depend heavily on past inflation. b. the current inflation rate will not depend heavily on past inflation. c. lower unemployment rates will be associated with higher inflation rates. d. all of the above. e. none of the above. 3. The original Phillips curve implied that a. the markup over labor costs is zero. b. there is no natural rate of unemployment. c. the expected inflation rate is equal to last year's inflation rate. d. a lower rate of unemployment causes an increasing rate of inflation. e. all of the above.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 4

Chapter_8 - Macroeconomics Test Yourself Chapter8 1. In the...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online