Radicals argue that inflation versus unemployment is a false trade-off because
A) the monetary authorities are mostly concerned with keeping real wages down, not how low the unemployment rate gets.
B) the government can always employ workers at any rate of inflation.
C) the government always overstates measured inflation.
D) the Federal Reserve Board does not have a good measure of money.

Question

Quizplus · Accepted Answer

Radicals argue that the monetary authorities are mostly concerned with keeping real wages down, not how low the unemployment rate gets. They do not view inflation versus unemployment as a true trade-off as traditional economic theory suggests.

Radicals Argue That Inflation Versus Unemployment Is a False Trade-Off