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We give an appraisal of the New Keynesian Phillips curve (NPC) as an empirical model of European inflation. We show that existing evidence reported in favour of the NPC on Euro-area and country data is due to a corroborative research strategy. In particular, goodness-of-fit is a weak criterion,...
Persistent link: https://www.econbiz.de/10005764074
general and prove detrimental to macroeconomic stability. …
Persistent link: https://www.econbiz.de/10005764090