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"The conventional wisdom that inflation and unemployment are unrelated in the long-run implies that these phenomena can be analysed by separate branches of economics. The macro literature tries to explain inflation dynamics and estimates the NAIRU. The labour macro literature tries to explain...
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reaction theory (CRT), should be used to jointly explain the evolution of inflation and unemployment. A further attraction of …
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reaction theory (CRT), should be used to jointly explain the evolution of inflation and unemployment. A further attraction of …
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