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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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