Aoyama, Hideaki; Di Guilmi, Corrado; Fujiwara, Yoshi; … - 2021
Low inflation was once a welcome to both policy makers and the public. However, Japan’s experience during the 1990’s … unusually prolonged. Too low inflation which annoys central banks today is translated into the “Phillips curve puzzle”. In the …, inflation stayed low. In this paper, we consider a minimal model of dual labor market to jointly investigate how blue the …