10. If the money supply in an economy is increased by 6% with no impact on real output in the long run, then (2 points)

	the economy is operating at its full-employment level
	the economy is facing recessionary pressures
	the economy experienced a 2% decrease in prices
	the economy has increased cyclical unemployment
	the economy's nominal GDP will remain constant

6. Assume that an increase in the overall income of households allows them to consume more. Which of the following represents this scenario in the Phillips curve model? (2 points)

	There will be movement toward the left along the short-run Phillips curve (SRPC); inflation increases and unemployment decreases.
	There will be movement toward the right along the short-run Phillips curve (SRPC); inflation decreases and unemployment increases.
	There will be no change in the SRPC or the long-run Phillips curve (LRPC); inflation and unemployment remain unchanged.
	There will be a rightward shift in the short-run Phillips curve (SRPC); inflation and unemployment both increase.
	There will be a leftward shift in the long-run Phillips curve (LRPC); inflation increases and unemployment decreases.