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Complete the following passage, comparing the Phillips curve and the labor market Phillips curve. a. The Phillips curve slopes , since a more positive output gap is associated with a level of unexpected inflation. The labor market Phillips Curve slopes , since a more positive output gap is associated with a level of unemployment. b. Both curves summarize the idea that lower unemployment leads to a more positive output gap. a more positive output gap leads to lower inflation. higher production costs lead to higher inflation. excess demand leads to higher inflation.
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Complete the following passage, comparing the Phillips curve and the labor market Phillips curve. a....
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