Is the Phillips Curve Still Alive?

RePEc Short ID: pwe11
ORCID iD: 0000-0001-5658-1578

Reinbold, Brian; Wen, Yi

doi:10.20955/r.102.121-44

Journal Article

Is the Phillips Curve Still Alive?

Abstract: A.W. Phillips's discovery that inflation is negatively correlated with unemployment served as a heuristic model for conducting monetary policy; but the flattening of the Phillips curve post-1970 has divided debate on this empirical relation into two camps: "The Phillips curve is alive and well," and "The Phillips curve is dead." However, this dichotomy oversimplifies the issue.

JEL Classification: C10; E24; E31; E52; E58;

https://doi.org/10.20955/r.102.121-44