Bundesbank solves German inflation and unemployment anomaly

bundesbank

A Bundesbank paper published on Tuesday discovers a new method of measuring the significant relationship between inflation and unemployment in Germany.

Estimations of the non-accelerating inflation rate of unemployment - the unemployment rate which is associated with stable inflation- typically yield less satisfactory results for Germany than other countries. This is partly reflected in a statistically insignificant or weakly significant relation between inflation and unemployment, demonstrated

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