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Q1. What is the relationship between the short-run Phillips curve and the long-run one? Hint: the answer lies on explaining the transition besides the shape of the curves.
Q2. According to macroeconomists, what would happen if a higher inflation rate becomes embedded in the economy (i.e., people believe they live in a world of high inflation)? Also, what would happen if a lower inflation rate becomes embedded in the economy?
•Show them what their mates do. From time to time people basically do not fathom that they are doing not the maximum amount because the customary.
•Shrink the get-together. once operating in an exceedingly broad grouping, it’s under no circumstances laborious to deal with whether or not specific endeavors improbably matter.
•Assign extraordinary commitments. totally different get-togethers develop in restraint since people are endeavoring to be conscious—they ought to solidify everyone and insult no one.
•Make individual wellsprings of knowledge plainly obvious. Right once it’s tough to check who’s doing what, people will hide out within the get-together.
•Build a additional grounded relationship. within the event that it’s making an attempt to vary the trip or the outcomes, it would be associate degree impossible chance to handle the link. people do not weight basically completed the method of movement untouchables and accomplices, nonetheless they feel sorry regarding deed their sidekicks stranded.
•If all else bites the dirt, request exhortation. currently and once more it’s noteworthy to travel unflawed to the supply. Imagine a circumstance within which you pushed toward a loafer and