The NAIRU is the rate of unemployment at which:
A.
the inflation rate is constant.
B.
unemployment is zero.
C.
prices are constant.
D.
All of the above are correct.

In the earlys of the xx century, Phillips developed a curve which linked a negative relation between unemployement rate and inflation. Over the time, the predictions of the curve failed, and that is how a new theoretical approach came across. The NAIRU (Non-Accelerating Inflation Rate of Unemployment) defines a unemployement rate where the inflation rate is constant, rejecting the traditional assumptions of the Phillips's curve.

Please take a look to the attached graph to understand the concept.

The NAIRU is the rate of unemployment at​ which: A. the inflation rate is constant. B. unemployment is zero. C. prices are constant. D. All of the above are correct.

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The NAIRU is the rate of unemployment at which:
A.
the inflation rate is constant.
B.
unemployment is zero.
C.
prices are constant.
D.
All of the above are correct.