Role of expectations in estimates of the NAIRU

RESEARCH - The Bank of England Working Paper, "The role of expectations in estimates of the NAIRU in the United States and the United Kingdom" examines evidence for a change in the relationship between inflation and unemployment. Inflation expectations are found to play a particularly important role in the United States and there is evidence that the NAIRU steadily declined during the late 1990s, the paper finds.

Source: Bank of England

The role of expectations in estimates of the NAIRU in the

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