According to the Phillips curve, unemployment will return to the natu – McqOptions

MCQOPTIONS

1.	According to the Phillips curve, unemployment will return to the natural rate when:
A.	nominal wages are equal to expected wages
B.	real wages are back at long-run equilibrium level
C.	nominal wages are growing faster than inflation
D.	inflation is higher than the growth of nominal wages
Answer» C. nominal wages are growing faster than inflation

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