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    Question

    Where there is increase in Government expenditure, how

    will it affect Phillips curve?
    A Phillip Curve will shift to the right Correct Answer Incorrect Answer
    B Phillip Curve will shift to the left Correct Answer Incorrect Answer
    C Movement along the Phillip curve wherein unemployment decreases Correct Answer Incorrect Answer
    D Movement along the Phillip curve wherein inflation decreases Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    It’s a movement along the curve. It will increase inflation & decrease unemployment.

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