Israeli paper finds ‘prolonged decline’ in Nairu


Israel experienced a "prolonged decline" in its non-accelerating inflation rate of unemployment (Nairu) between 2003 and 2012, dropping from 12% to 6.5%, according to a discussion paper published by the Bank of Israel last month.

In Estimating the Nairu using both the Phillips and the Beveridge curves, David Elkayam and Alex Ilek attribute the decline to government policy aimed at making the country's labour market more efficient.

The authors say that both the Phillips curve and the Beveridge

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account