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Aggregate supply and the Phillips curve

Forums: Economics, Do My Homework, Aggregate Supply, Phillips Curve
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RWCIII
 
Reply Wed 20 Aug, 2014 10:09 pm
If a program introduced reduces structural unemployment, what is the effect on the expectations-augmented Phillips curve and the long-run Phillips curve?

I believe that the reduction will cause both to shift to the left, however will this also have an effect on price levels and inflation?
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