Use the table below to answer the following questions.
Table 28.2.1

-Refer to Table 28.2.1.The table gives points on the short-run Phillips curve for the country of Ruritania.If the expected inflation rate is 10 percent,and the inflation rate unexpectedly rises to 12 percent,what is the unemployment rate?

Question

Use the table below to answer the following questions.
Table 28.2.1
 
-Refer to Table 28.2.1.The table gives points on the short-run Phillips curve for the country of Ruritania.If the expected inflation rate is 10 percent,and the inflation rate unexpectedly rises to 12 percent,what is the unemployment rate?

Quizplus · Accepted Answer

The correct answer is A because the unemployment rate is 4 percent when the expected inflation rate is 10 percent and the actual inflation rate is 12 percent.

Use the Table Below to Answer the Following Questions