- Choose the letter of the diagram in Figure 16.1 that represents the Phillips curve.
A)a.
B)b.
C)c.

Question

- Choose the letter of the diagram in Figure 16.1 that represents the Phillips curve.
A)a. 
B)b. 
C)c.

Quizplus · Accepted Answer

The Phillips curve is a graphical representation of the relationship between the rate of inflation and the rate of unemployment. The Phillips curve is typically downward-sloping, indicating that higher rates of inflation are associated with lower rates of unemployment, and vice versa. The diagram in Figure 16.1 that represents the Phillips curve is diagram a.

- Choose the Letter of the Diagram in Figure 16