Phillips curves and unemployment dynamics
Published
2006
Publisher
IZA
Description
"The conventional wisdom that inflation and unemployment are unrelated in the long-run implies that these phenomena can be analysed by separate branches of economics. The macro literature tries to explain inflation dynamics and estimates the NAIRU. The labour macro literature tries to explain unemployment dynamics and determine the real economic factors that drive the natural rate of unemployment. We show that the orthodox view that the New Keynesian Phillips curve is vertical in the long-run and that it cannot generate substantial inflation persistence relies on the implausible assumption of a zero interest rate. In the light of these results, we argue that a holistic framework is needed to jointly explain the evolution of inflation and unemployment"--Forschungsinstitut zur Zukunft der Arbeit web site.
Die Phillips-Kurve
European inflation dynamics
La curva de Phillips
The Phillips curve under state-dependent pricing
Intertemporal substitution and the Phillips curve
The nature of the Phillips curve
Frequently Asked Questions
Who is the author of Phillips curves and unemployment dynamics?
Phillips curves and unemployment dynamics was written by Marika Karanassou.
When was Phillips curves and unemployment dynamics published?
The publication date for this specific edition is 2006. The original work may have been published on a different date.