1 . In the short run, macroacceleration temporarily reduces the rate of unemployment, although upward pressure on...

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1 . In the short run, macroacceleration temporarily reduces the rate of unemployment, although upward pressure on prices soon develops. Temporarily, a lower rate of unemployment can be attained at the expense of a higher rate of inflation. This short-run negative relationship between the rates of unemployment and inflation is called the Phillips curve.

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Economics Private And Public Choice

ISBN: 9780123110404

2nd Edition

Authors: James D Gwartney; Richard Stroup; A H Studenmund

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