-The traditional Phillips curve suggests a conflict or tradeoff between:
A)price level stability and income equality
B)economic growth and income equality
C)full employment and income equality
D)economic growth and full employment
E)full employment and price level stability

Question

-The traditional Phillips curve suggests a conflict or tradeoff between:
A)price level stability and income equality 
B)economic growth and income equality 
C)full employment and income equality 
D)economic growth and full employment 
E)full employment and price level stability

Quizplus · Accepted Answer

The traditional Phillips curve suggests a tradeoff between full employment and price level stability, indicating that achieving very low unemployment rates often leads to higher inflation.

-The Traditional Phillips Curve Suggests a Conflict or Tradeoff Between