Alogoskoufis, George; Philippopoulos, Apostolis - C.E.P.R. Discussion Papers - 1991
We extend the `rational partisan model' of inflation and unemployment by introducing inflation and unemployment … inflation in the last two decades. High inflation can be attributed to the failure of political parties to precommit to price … stability. The greater aversion of `socialists' to unemployment results in an inflation rate which is higher by five percentage …