3. The slope of the short-run Phillips curve is consistent with: a. the long-run trade-off between the unemployment rate and inflation. b. the long-run trade-off between inflation and GDP. c. the short-run trade-off between the money supply and interest rates. d. the short-run trade-off between business productivity and wage contracts. e. the short-run trade-off between the unemployment rate and inflation. 4. In the short run, an expansionary monetary policy by the Fed would: a. reduce unemployment at the cost of higher inflation. b. reduce inflation at the cost of a rise in the natural rate of unemployment. c. reduce inflation and leave the natural unemployment rate unchanged. d. reduce both inflation and unemployment. e. increase both inflation and unemployment