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Ruben Uribe
on Nov 11, 2024

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The initial Phillips curve relationship implied that the opportunity cost of _____ was higher _____.

A) reducing unemployment;inflation
B) increasing unemployment;inflation
C) decreasing employment;interest rate
D) increasing employment;deflation
E) increasing employment;interest rate

Phillips Curve

A curve showing possible combinations of the inflation rate and the unemployment rate.

Opportunity Cost

The cost of forgoing the next best alternative when making a decision or choosing to invest in one option over another.

Reducing Unemployment

The act of implementing policies or actions by governments or businesses to decrease the number of unemployed individuals in the economy.

  • Understand the Phillips Curve and its implications for the trade-off between inflation and unemployment.
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Cherrilyn MagatNov 17, 2024
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