Phillips Curve – Econlib

I came across this article and thought it was timely with regards to today's employment, wage, and inflation numbers. There was also a Working Paper in the NBER email written about the research Friedman and Phelps did on the the effects of the Phillips Curve. The paper posits, "...in the past decade the slope of the short-run Phillips Curve has flattened as inflation exhibited a muted response to high unemployment in 2009-13 and low unemployment in 2016-2018. It remains to be seen whether a continuation of low unemployment will cause a modest and fixed extra amount of inflation, thus reviving the stable Phillips curve of the early 1960s, or whether inflation will continuously accelerate as Friedman and Phelps would have predicted."