This paper is concerned with the stability of macroeconomic models in which there is no long-run trade-off between unemployment and inflation, because of a wage adjustment equation based on the NAIRU concept. It is shown, for a simple theoretical model and for the Bergstrom-Nowman-Wymer...

Theoretical and empirical literature on inflation is extensive,and it abounds with diverse opinion. Principal works are of overseasorigin; no substantial research has been published relating specificallyto the New Zealand economy.This study does not attempt to develop a comprehensive theory...