inflation and unemployment in the long run, using quarterly US data from 1952 to 2010, and state-of-the art econometric methods … relationship between inflation and unemployment is positive in the long run. …. Using a band-pass filter approach, we find strong evidence that a positive relationship exists, where inflation leads …

evidence for a reaction of wage growth to unemployment and productivity growth. The degree of real wage flexibility tends to be …. There exists an inflation threshold, below which real wage flexibility is low. We also find that a part of the heterogeneity … in real wage flexibility and unemployment may be related to differences in the wage bargaining institutions. …

, and Iraq/Afghanistan conflicts. Inflation, unemployment, war rallies, and soldier casualties are systematic factors upon … time consistent in all three episodes, with an inflation target of zero and an unemployment target close to the natural … unemployment rate. This implies that wartime macroeconomic overheating likely causes popularity to decline. …

is irrelevant for monetary policy because central banks affect economic activity and inflation by (i) controlling a very …

We examine inflation and uncertainty in the UK with a version of the Markov Switching model, which allows for changes … in lowering inflation uncertainty. The 1981 budget, however, greatly lowered uncertainty, and the adoption of a formal … inflation target also had a palpable, negative impact on inflation uncertainty. As a suggestive exercise, we examine inflation …

approaches regard inflation as the unintentional result of the behavior of interest groups. In this paper we take the opposite … view, namely, that when there is polarization of financial wealth, inflation is used as a tax to transfer the burden of … inflation support a new government coalition. The estimates of a Probit model support this hypothesis: the stabilizations after …

This paper considers whether the Phillips curve can explain the recent behavior of inflation in the United States … historical data will overstate the responsiveness of inflation to present-day economic conditions. I modify the traditional … behavior of inflation without relying on anchored expectations. Specifically, I explore reasons why the slope might vary over …

The impact of changes in exchange rate on inflation is an issue of extreme importance for nations with a history of … high inflation. While there have been significant studies on industrial and advanced economies, little analysis has been … fundamentals on ERPT, and finds monetary policy stability, inflation rate and trade openness to have a positive impact on pass …

‘Modern’ Phillips curve theories predict inflation is an integrated, or near integrated, process. However, inflation … shifting mean. If agents believe inflation is integrated as in the ‘modern’ theories then they are making systematic errors … concerning the statistical process of inflation. An alternative theory of the Phillips curve is developed that is consistent with …