Question: When will a reduction in unemployment result in an increase in inflation?
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a.When a high percentage of the increase in income is saved
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b.When the economy reaches its production possibility curve
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c.When the jobs created ase unskilled
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d.When the newly employed buy mainly imported goods
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e.None of the above
Answer: b
 When a high percentage of the increase in income is saved b) When the economy reaches its production possibility curve c) When the jobs created ase unskilled d) When the newly employed buy mainly imported goods e) None of the above Ans. b) When the economy reaches its production possibility curve
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