Todorova, Tamara - 2012 - Received November 18, 2011; revised December 21, 2011; accepted January 3, 2012
We study the time path of inflation and unemployment using the Blanchard treatment of the relationship between the two … the results. The economic dynamics of inflation and unemployment shows that they fluctuate around their intertemporal … equilibria, inflation around the growth rate of nominal money supply, respectively, and unemployment around the natural rate of …