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The Long-Run Phillips Curve Shows the Relationship Between

Question 122

Multiple Choice

The long-run Phillips curve shows the relationship between:


A) potential aggregate output and the natural rate of unemployment at a given rate of expected inflation.
B) expected inflation and actual inflation after the expectation becomes embedded in people's minds.
C) the aggregate output and the aggregate price level at a given rate of expected inflation.
D) unemployment and inflation after expectations of inflation have had time to adjust to experience.

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