7supposetheeconomyisatpointcwhatcanpossiblymovetheecon

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Unformatted text preview: hich panel represents the short-run Phillips curve? A) A B) B C) C D) D Answer: A Diff: 1 Topic: The Short-Run Relationship Between the Unemployment Rate and Inflation Skill: Conceptual AACSB: Reflective Thinking 12) Refer to Figure 14.6. If unemployment is on the x-axis, which panel represents the long-run Phillips curve? A) A B) B C) C D) D Answer: C Diff: 1 Topic: The Short-Run Relationship Between the Unemployment Rate and Inflation Skill: Conceptual AACSB: Reflective Thinking Refer to the information provided in Figure 14.7 below to answer the questions that follow. Figure 14.7 13) Refer to Figure 14.7. The unemployment rate at U1 A) is greater than the natural rate. B) is lower than C) the natural rate. equals the D) natural rate. equals zero. Answer: C Diff: 1 Topic: The Short-Run Relationship Between the Unemployment Rate and Inflation Skill: Conceptual AACSB: Reflective Thinking 14) Refer to Figure 14.7. If the natural unemployment rate equals 6%, the unemployment rate at U2 could be A) 4%. B) 5%. C) 6%. D) 7%. Answer: D Diff: 2 Topic: The Short-Run Relationship Between the Unemployment Rate and Inflation Skill: Analytic AACSB: Analytic Skills 15) Refer to 14.7. Suppose the economy is at Point A, an increase in money supply will move the economy to Point Figure ________ in the short run. A) E B) B C) C D) D Answer: C Diff: 2 Topic: The Short-Run Relationship Between the Unemployment Rate and Inf...
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This note was uploaded on 06/02/2013 for the course ECON 130 taught by Professor Meshew during the Fall '13 term at Victoria Wellington.

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