employment and hours affecting inflation dynamics via marginal costs. We find that the response of unemployment and inflation to … persistent movements of aggregate inflation. Moreover, the impact of a monetary policy shock on unemployment and inflation …

We consider a model with frictional unemployment and staggered wage bargaining where hours worked are negotiated for … each period. The workers' bargaining power in the working time negotiations affects both unemployment volatility and … inflation persistence. The closer to zero this parameter, (i) the more firms tend to adjust on the intensive margin, reducing …

The dynamic general equilibrium model with hiring costs presented in this paper delivers involuntary unemployment in …

This paper explores the interrelation between the degree of unemployment persistence and the unemployment … unemployment and making unemployment less persistent, the less effective will be the growth-promoting supply-side policies (such as … training schemes) in reducing unemployment. …

Potential links between inflation, (t), and unemployment, UE(t), in Germany have been examined. There exists a … negative relation between inflation and unemployment with the latter leading the former by one year: UE(t-1) = -1.50(t) + 0 ….116. Effectively, growing unemployment has resulted in decreasing inflation since 1971, i.e. for the period where GDP deflator …

This paper proposes a measure of real-time inflation expectations based on metadata, i.e., data about data, constructed … from internet search queries performed on the search engine Google. The forecasting performance of the Google Inflation … Search Index (GISI) is assessed relative to 37 other indicators of inflation expectations – 36 survey measures and the TIPS …

description of the U.S. business cycle, and that the inflation/unemployment trade-off facing monetary policymakers is … staggered nominal wage bargaining. We find that the estimated natural rate of unemployment is consistent with the NBER … unemployment gaps are more efficient than rules responding to output or unemployment growth rates, also in the presence of …

interpreted, first and foremost, as a commitment device. In our setting, a monetary target helps anchoring inflation and inflation … well as a strong response to deviations of inflation from target and to the activity growth gap. In contrast, the response …