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If the Natural Unemployment Rate Falls

Question 92

Multiple Choice

If the natural unemployment rate falls


A) the short- run Phillips curve shifts rightward.
B) the long- run Phillips curve shifts rightward and the short- run Phillips curve does not change.
C) the long- run Phillips curve shifts leftward and the short- run Phillips curve does not change.
D) the short- run and long- run Phillips curves both shift leftward.
E) the short- run and long- run Phillips curves both shift rightward.

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