The Phillips curve relationship can also be seen indirectly from the AD/AS model.

Question

Quizplus · Accepted Answer

The AD/AS model shows the relationship between aggregate demand and aggregate supply, which can influence the overall price level and level of output in the economy. The Phillips curve, which describes the inverse relationship between unemployment and inflation, can also be seen in the AD/AS model as a movement along the AS curve. When unemployment is low and output is high, this can lead to upward pressure on prices and inflation, and vice versa. This relationship between unemployment and inflation is captured by the Phillips curve, which can be indirectly observed in the AD/AS model.

The Phillips Curve Relationship Can Also Be Seen Indirectly from the AD/AS