Suppose the natural rate of unemployment is 6 percent. On one graph, draw two Phillips curves that describe the four situations listed here. Label the point that shows the position of the economy in each case. a. Actual inflation is 5 percent, and expected inflation is 3 percent. b. Actual inflation is 3 percent, and expected inflation is 5 percent. c. Actual inflation is 5 percent, and expected inflation is 5 percent. d. Actual inflation is 3 percent, and expected inflation is 3 percent.
Ch. 6 Thursday, September 29, 2016 9:38 AM Contract: a legally binding agreement - Elements (going to be on the test): 1. A good offer 2. A good acceptance 3. Genuineness of assent 4. Capacity, Consideration, Legality - Formed under state law; every state has its own contract law, BUT –they are basically the same ○ Varying terminology - Common Law Contracts: general; what we will be talking about - Some contracts NEED to be in writing ○ Ex: real estate contracts - Bilateral contract: