Suppose that the government provides more job training programs and job search services so as to help
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Suppose that the government provides more job training programs and job search services so as to help workers improve productivity and find jobs.
a. What will be the effect on the natural unemployment rate? How does this affect the expectationsaugmented Phillips curve and the long-run Phillips curve?
b. Do you think that continuous expansionary monetary policy can have the same effects as in your answer to (a)? Explain your answer.
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