Other things the same,if the central bank decreases the rate at which it increases the money supply,then in the long run
A)the short-run Phillips curve shifts right.
B)the short-run Phillips curve shifts left.
C)the long-run Phillips curve shifts right.
D)the long-run Phillips curve shifts left.

Question

Quizplus · Accepted Answer

A decrease in the rate of money supply growth reduces inflation expectations, shifting the short-run Phillips curve to the left, indicating lower inflation for any given level of unemployment.

Other Things the Same,if the Central Bank Decreases the Rate