Kitov, Ivan O. - Society for the Study of Economic Inequality - ECINEQ - 2006
. A model is developed linking the measured inflation (consumer price index or GDP deflator), unemployment and change in … labor force. During the last twenty-five years, unemployment in the USA has been a lagged linear function of inflation. In … years before. One can predict the unemployment rate in the USA in the following two years within the accuracy of inflation …