Consider the following statements about Phillips Curve

Posted by MCQ LOG at 1:08 PM

Consider the following statements about Phillips curve :

(i) There is inverse relationship between rate of inflation and rate of unemployment.

(ii) Economic behaviour is a function of nominal returns.

(iii) Economic behaviour is a function of real returns.

Of these statements which are true from the Monetarists point of view ?

(1) All the above are true
(2) Only (i) and (ii) are true
(3) Only (ii) is true
(4) Only (iii) is true

Answer - (4) Only (iii) is true