, inflation and unemployment, we detect a wrong sign in the response of inflation to contractionary monetary policy shocks … significant unemployment inflation trade-off emerges. These conclusions are confirmed by using industrial production instead of … the unemployment rate in the VAR model. …

Using a New Keynesian Phillips curve, we document the rapid and persistent increase in the natural rate of unemployment … unemployment gaps. Through the lens of the model, the 2022-23 disinflation was driven by the expectation that the unemployment gap … will close through a progressive decline in 𝑢𝑡 ∗ and a rise in the unemployment rate. This implies that convergence to …

in their unemployment rate and not a decline in labour force participation rate. Policymakers should take account of …

unemployment. Moreover, the wage sweep-ups caused by nominal rigidity are strongly correlated with unemployment suggesting that … downward rigidity of nominal wages indeed contributes to unemployment …

unemployment. This link becomes more evident when wage inflation is disaggregated at sectoral and occupational levels. Using … exogenous variations in local market unemployment as the main identification strategy, a negative correlation between vacancy …-level wage and unemployment is also established. The correlation magnitude, however, is different across regions and skill …

We set up and estimate a structural unobserved components open economy model for the rate of unemployment and the real … factors. Thus, the results indicate that the dramatic changes in the Swedish unemployment rate during the 1990s mainly was a … inflation is found to be quite sensitive to the unemployment gap. An increase in cyclical unemployment by 1 percentage point …

; equilibrium unemployment ; inflation target ; Phillips curve ; Lucas critique ; Germany …

supply and observed unemployment rate. Our approach to labour market in the New Keynesian DSGE model follows papers of Galí … the labour supply preference shock) and use the results to explain the evolution of unemployment in the period of 1999–2011 …

This paper analyzes the effects of nominal wage rigidity on inflation persistence and unemployment using a dynamic … open economy, allowing to simultaneously introduce nominal wage rigidity and unemployment in the labor market. Our main … provides estimates of the nominal wage rigidity implications on unemployment. Indeed, in a context of wage rigidity, a …