Friedman and Phelps concluded that there is no reason to think the rate of inflation would, in the long run, be related to the rate of unemployment.
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Q15: The natural rate hypothesis states that if
Q16: According to rational expectations theory, a credible
Q17: Phillips's discovery in the UK was supported
Q18: According to Friedman and Phelps, which of
Q19: The Phillips curve is the short-run relationship
Q21: The natural rate of unemployment is:
A)the non-acceleration
Q22: A vertical long-run Phillips curve occurs at
Q23: Disinflation is defined as:
A)a zero rate of
Q24: If the long-run Phillips curve shifts to
Q25: An increase in expected inflation:
A)shifts the short-run
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