2018 · Q54
The natural rate of umemployment hypothesis was advocated by
General KnowledgeIndian Economy
- AMilton Friedman
- BA.W. Phillips
- CJ.M. Kenes
- DR.G. Lipsey
Explanation
The natural rate of unemployment hypothesis, which holds that unemployment gravitates to a 'natural' level determined by real factors and cannot be permanently lowered by monetary expansion, was advocated by Milton Friedman in his 1968 presidential address. A.W. Phillips described the inflation-unemployment trade-off curve, while Keynes and Lipsey are associated with other frameworks. Hence Milton Friedman is the answer.