-Exhibit 16.5 shows a Phillips curve. If available, a reduction in unemployment with no change in inflation would be represented by _____
A) point a to point b.
B) point b to point a.
C) point a to point c.
D) point a to point d.
E) point c to point d.

Question

-Exhibit 16.5 shows a Phillips curve. If available, a reduction in unemployment with no change in inflation would be represented by _____
A) point a to point b. 
B) point b to point a. 
C) point a to point c. 
D) point a to point d. 
E) point c to point d.

Quizplus · Accepted Answer

A reduction in unemployment with no change in inflation would be represented by a movement along the horizontal axis of the Phillips curve, indicating lower unemployment at the same inflation rate, which is from point a to point c.