What is the Phillips curve consistent with?
A)the AD shifting along a stationary SRAS
B)the AD shifting along the LRAS
C)the LRAS shifting along a stationary AD
D)the SRAS shifting along a stationary AD

Question

Quizplus · Accepted Answer

The Phillips curve illustrates the inverse relationship between inflation and unemployment, which is consistent with shifts in aggregate demand (AD) along a stationary short-run aggregate supply (SRAS) curve.

What Is the Phillips Curve Consistent With