MCQOPTIONS
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| 1. |
In the long run, the Phillips curve will be vertical at the natural rate of unemployment if ? |
| A. | the long-run aggregate demand curve is horizontal at the natural rate of inflation |
| B. | the long run aggregate demand curve is vertical at potential GDP |
| C. | the long run aggregate demand curve is vertical at potential GDP |
| D. | The long run supply curve is horizontal at the natural rate of inflation |
| Answer» D. The long run supply curve is horizontal at the natural rate of inflation | |