A short-run phillips curve shows an inverse relationship between

Answer: unemployment rate and the inflation rate.

Explanation:

The Phillips curve shows the relationship that exists between inflation and unemployment rates. The short-run Phillips curve looks like an L-shape and it reflects the inverse relationship between the two variables i. e unemployment and inflation.

As unemployment rates rises, inflation reduces and as unemployment rates reduces, inflation increases. A reduction in the aggregate supply will lead to a rightward shift the short run Phillips Curve.