Which of the following is not a feature of the A.W. Phillip’s inflationunemployment trade-off relation ?
A. A non-linear inverse relationship between unemployment rate and the rate of exchange in wage rate.
B. There is a loop in the anticlockwise around the Phillip’s curve.
C. The wage-inflation unemployment relationship is predictable.
D. Philip’s curve shifts when expected rate of inflation shifts
Answer:D
Which of the following is not a feature of the A.W. Phillip’s inflationunemployment trade-off relation ?
A. A non-linear inverse relationship between unemployment rate and the rate of exchange in wage rate. B. There is a loop in the anticlockwise around the Phillip’s curve. C. The wage-inflation unemployment relationship is predictable. D. Philip’s curve shifts when expected rate of inflation shifts