On the issue of whether or not a little inflation helps reduce unemployment:
A) Economists generally agree that it does, because a little inflation enhances firm's profitability
B) Economists generally agree that it does not, because wages will rise along with inflation
C) The issue is still hotly debated by opposing camps of economists
D) The issue is largely settled in that inflation does not affect unemployment at all

Question

Quizplus · Accepted Answer

The relationship between inflation and unemployment is a complex and debated topic in economics, often discussed in the context of the Phillips Curve, which suggests a short-term trade-off between the two. However, there is no consensus, and the debate continues among economists.

On the Issue of Whether or Not a Little Inflation