Unemployment or Inflation? The Phillips Curve Evaluation Reveals Economic Impact
The article evaluates the relationship between unemployment and inflation, known as the Phillips Curve. The researchers, including Milton Friedman, analyze how changes in one factor affect the other. They find that there is a trade-off between unemployment and inflation, meaning that when one decreases, the other tends to increase. This suggests that policymakers must carefully balance these two factors when making decisions about monetary policy.