Central bankers are raising interest rates on the assumption that wage-push inflation may lead to stagflation. This is … not the case. Although unemployment is low, the labor market is not 'tight'. On the contrary, we show that what matters …, just as in the Great Recession we anticipate deflation in the near future, coupled with rising joblessness and recession. …

relating unemployment and vacancies to inflation, the link between these labor market indicators and inflation depends on … curve shifts between 1960 and 2000. A reduction in matching efficiency, that depressed unemployment outflows, shifted the … Beveridge curve is essential for drawing policy conclusions from the joint behavior of unemployment and job openings. …

Our paper revisits Okun's relationship between observed unemployment rates and output gaps. We include in the … unemployment rate) over time. The Okun coefficient is not only different for young, prime-age and older workers, it decreases with … reducing the overall unemployment rate, it will also have the distributional effect of lowering youth unemployment. …

The recent financial crises, alongside a dramatic rise in unemployment on both sides of the Atlantic, suggest that … on liquidity are hit disproportionally hard. This may explain why the unemployment rate in the US during the Great …

. With regard to the West German unemployment, the effects of volatility are empirically analysed using three different … cyclical component of the unemployment rate, it can be demonstrated that the whole reported impact solely affects this …

This paper analyzes the relationship between unemployment and wage inflation for 10 of the euro area countries. The … combination of low wage inflation and high unemployment in Europe is usually attributed to a rise in the natural rate of … unemployment that may account for a changing pattern in the unemployment inflation trade-off. Moreover, it analyzes whether the …

inflation and unemployment. We focus on the G7 economies plus Spain, and use monthly data –high-frequency data in a macro …. We find that total connectedness is larger for prices (58.28%) than for unemployment (41.81%). We also identify …

. -- optimal monetary policy ; inflation targeting ; unemployment ; Phillips curve ; nominal inertia ; monetary policy …The Friedman rule states that steady-state welfare is maximized when there is deflation at the real rate of interest …. Recent work by Khan et al (2003) uses a richer model but still finds deflation optimal. In an otherwise standard new …

Phillips-curve framework of low - often extremely low - response of inflation to unemployment could be the result of fairly … most Phillips-curve studies, that conclude that inflation has little relation to unemployment. We suggest that the flat …We propose that the natural rate of unemployment has an active role in the business cycle, in contrast to the …