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The Phillips Curve Calculator helps you make informed decisions by calculating phillips curve-related values. A simplified model to show the trade-off between inflation and unemployment.
Step-by-Step Instructions
Enter your revenue, costs, and business metrics in the input fields.
Review the calculated results displayed in real-time.
Compare different scenarios using the comparison view.
Apply the insights to your financial decisions.
To understand the inverse relationship between unexpected inflation and cyclical unemployment.
- •Students
- •Economists
- •Policymakers
- •Financial Analysts
Scenario
A central bank is analyzing a scenario where expected inflation is 2%, the natural unemployment rate is 5%, and the current unemployment rate is 4%. They want to understand the inflationary pressure.
Outcome
The calculator shows a cyclical unemployment of -1% and a resulting inflation rate of 2.5% (with ╬▒=0.5), indicating that the lower unemployment is creating upward pressure on inflation.
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