The long-run Phillips curve is:
A) downward-sloping, implying a trade-off between unemployment and inflation.
B) downward-sloping, implying that the unemployment rate always returns to its natural rate in the long run.
C) vertical, implying a long-run trade-off between unemployment and inflation.
D) vertical, implying that the unemployment rate always returns to its target rate in the long run.
Correct Answer:
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