In the context of the Long Run Phillips Curve, which of the following statements best describes the relationship between inflation and unemployment when expectations are taken into account?

The Long Run Phillips Curve shows that in the long term, there is no trade-off between inflation and unemployment. This means that even if inflation rises, it doesn't lower unemployment in the long run because people adjust their expectations. For example, if workers expect higher prices, they will demand higher wages, which can lead businesses to raise prices even more, keeping inflation high without reducing unemployment. Therefore, in the long run, the economy tends to settle at a natural rate of unemployment, regardless of the inflation rate. This is important because it suggests that policies aimed at reducing unemployment through higher inflation may not be effective in the long term.