Many economists would agree no doubt that the strict classical quantity theory of money is logically incompatible with the concept of a stable, long-run Philips curve tradeoff between output and inflation

The Phillips Curve depicts a relationship between inflation and unemployment in graphical or equation form. In a previous article (see the March/April issue of this Review ), Thomas Humphrey catalogued the various formulations of the relationship that have appeared since the publication in 1958...