1. Species are dying out at a rhythm 1,000 times faster than the natural rate

2. In later versions of the natural rate hypothesis, Friedman was tacitly to abandon this view altogether.

3. He adds: “Over the past centuries, we have accelerated the rate of extinction of species far beyond the natural rate.

4. (3) Resource costs, that represent the costs of foregone opportunities which other uses suffer due to the depletion of the resource beyond its natural rate of recharge or recovery (e.g. linked to the over-abstraction of groundwater).

5. In that case A) inflation will fall from its current level which explains the upward-sloping nature of the Phillips curve B) inflation will rise from its current level which explains the upward-sloping nature of the aggregate supply curve C) unemployment will rise Above the natural rate which explains the upward