If the price level was 150 in year 1 and 157.5 in year 2, what is the rate of inflation?

What does the short run Phillips Curve illustrate?

In what way does the long run Phillips curve differ from the short run Phillips curve regarding unemployment and inflation dynamics?

How does the long run Phillips curve illustrate the relationship between inflation and unemployment?

Why is the long run Phillips curve limited in predicting short-term economic fluctuations?

Which of the following best describes the inverse relationship between unemployment and inflation as depicted by the Phillips Curve?

What is the impact of unexpected inflation on firm profitability?

How does a decrease in expected inflation affect the short-run Phillips Curve?

Which of the following is a real-world example of a supply shock?

Why is it challenging for policymakers to address simultaneous increases in inflation and unemployment?

Which of the following best illustrates the effect of contractionary policy on the Phillips curve?

A government aims to reduce inflation by 2% and expects a GDP loss of 6%. What is the sacrifice ratio in this scenario?

If the inflation rate decreased from 10% to 4% and unemployment increased from 5% to 9% during the Volcker disinflation, what was the change in inflation and unemployment rates?

Which of the following best describes disinflation?

In a country where the inflation rate decreased from 7% to 2% over five years, what economic phenomenon is being observed?