In the next column are four graphs and four economic scenarios, each of which would cause either

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In the next column are four graphs and four economic scenarios, each of which would cause either a movement along the short-run or long-run Phillips curve or a shift in the short-run or long-run Phillips curve. Match each scenario with the appropriate graph.
1. 2. Inflation rate Inflation rate (percent per year) (percent per year) Unemployment rate (percent) Unemployment rate

a. The proportion of younger and less-skilled workers in the labor force decreases.
b. The Fed carries out an expansionary monetary policy.
c. Congress enacts significant new legal barriers to firing workers.
d. Workers and firms lower the inflation rate they expect.

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Economics

ISBN: 978-0134106243

6th edition

Authors: R. Glenn Hubbard

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