Question

The​ long-run Phillips curve​ _______. A. is a vertical curve at the natural unemployment rate B. slopes downward as the inflation rate falls C. slopes upward as the unemployment rate falls D. is a horizontal curve at the expected inflation rate

Answer 1

A. is a vertical curve at the natural unemployment rate

Step-by-step explanation:

Philips curve is a relationship between inflation and unemployment rate.

In the long run, Philips curve is vertical since there is no trade off between inflation and unemployment.