Proposal to axe Phillips curve triggers controversy

Phillips curve

A proposal to cut out the Phillips curve from major macroeconomic models has triggered a heated debate among leading economists.

For several years now, economists have observed that the link between inflation and unemployment described by the Phillips curve has weakened. In many economies, the observed Phillips curve has become flatter, meaning inflation appears less responsive to changes in unemployment. That has led some to declare the curve “dead”.

Since the Phillips curve plays a central

To continue reading...

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 here: