RT - Journal Article
T1 - Estimation of Phillips Curve with Regression Models of Smooth
JF - JSE
YR - 2011
JO - JSE
VO - 1
IS - 3
UR - http://jfm.khu.ac.ir/article-1-216-en.html
SP - 169
EP - 190
K1 - Phillips curve
K1 - Inflation
K1 - Unemployment
K1 - GDP Gap
K1 - Nonlinear Phillips Curve
K1 - Smooth Transition Regression Models
AB - The Phillips curve usually has been estimated in a linear framework which implies a stable constant relationship between inflation and unemployment. Some of the studies claim that the slope of the Phillips curve is a function of macroeconomic conditions and also the relationship is asymmetric. This article deals with a smooth transition regression model for relationship between inflation and unemployment for Iran, during the period of 1971 -2007. Smooth transition regression model is a non linear time series regression model which could be considered as developed form of regime switching regression model. Results show that there is a negative and nonlinear relationship between inflation and unemployment in short-term. Regarding this result it's highly important for policy makers to be able to make a relationship between these two variables
LA eng
UL http://jfm.khu.ac.ir/article-1-216-en.html
M3
ER -