1265EconomicsMedium
The relationship between inflation and unemployment is represented by:
ASay’s law
BPhillips curve
CU-shape curve
DOkun’s law
Correct answer
B. Phillips curve
Explanation
The Phillips curve shows an inverse relationship between inflation and unemployment—when inflation rises, unemployment tends to fall, and vice versa. Okun’s law relates unemployment and GDP growth. Say’s law states that supply creates its own demand. A U-shape curve is not relevant in this context.