Money Largely Accounts for Increased Unemployment during Stagflation, Shows a Recent Study

• Main Author: Knowledge@SMU
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2008
• Subjects: Accounting; Business; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/ksmu/65; https://ink.library.smu.edu.sg/cgi/viewcontent.cgi?article=1064&context=ksmu
• Institution: Singapore Management University

Is there a relation between money, measured by inflation or interest rates, and unemployment? According to Aleksander Berensten, Guido Menzio and Randall Wright -- co-authors of a recent paper on “Inflation and Unemployment in the Long Run” -- there is a strong positive relation. Wright, who is prof...