Which of the following is a true statement?
A)Under normal conditions, there is a short-run trade-off between inflation and unemployment.
B)There is a long-run trade-off between inflation and unemployment.
C)The short-run Phillips Curve is vertical.
D)The long-run Phillips Curve is horizontal.

Question

Quizplus · Accepted Answer

In the short run, there is typically a trade-off between inflation and unemployment, as represented by the downward-sloping short-run Phillips Curve.

Which of the Following Is a True Statement