tag:blogger.com,1999:blog-9143431742429926517.post8718980560653870076..comments2024-03-23T19:17:50.985+01:00Comments on Economics as Classical Mechanics: The Phillips curve and anti-Phillips curve in the U.K.Ivan Kitovhttp://www.blogger.com/profile/16756147426052505832noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-9143431742429926517.post-29016612882693820812014-09-19T10:37:28.120+02:002014-09-19T10:37:28.120+02:00The puzzle may have an innocent resolution. A dema...The puzzle may have an innocent resolution. A demand surge first causes an inventory run-down, then an increase in output (more overtime). Only late in the process does inflation respond and hirings occur (unemployment fall). Inflation and unemployment are lagging indicators of a business cycle, and it's plausible that measured unemployment is the last to be affected.Anonymousnoreply@blogger.com