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A Policy That Raised the Natural Rate of Unemployment Would

Question 57

Multiple Choice

A policy that raised the natural rate of unemployment would shift


A) both the short-run and the long-run Phillips curves to the right.
B) the short-run Phillips curve right but leave the long-run Phillips curve unchanged.
C) the long-run Phillips curve right but leave the short-run Phillips curve unchanged.
D) neither the long-run Phillips curve nor the short-run Phillips curve right.

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