The initial Phillips curve relationship implied that the opportunity cost of _____ was higher _____.
A)reducing unemployment;inflation
B)increasing unemployment;inflation
C)decreasing employment;interest rate
D)increasing employment;deflation
E)increasing employment;interest rate

Question

Quizplus · Accepted Answer

The initial Phillips curve relationship showed a negative relationship between unemployment and inflation, implying that the opportunity cost of reducing unemployment (i.e. increasing employment) was higher inflation.

The Initial Phillips Curve Relationship Implied That the Opportunity Cost