The Phillips curve has flattened in Spain over 1995-2006: unemployment has fallen by 15 percentage points, with roughly … Spain over this period. We show that the New Keynesian Phillips curve is shifted by immigration if natives' and immigrants …' labour supply or bargaining power differ. Estimation of the curve for Spain indicates that the fall in unemployment since …

estimate this curve for Spain since 1980 and find that while the fall in unemployment over the last 8 years comes along with an …