IDEAS home Printed from https://ideas.repec.org/a/bla/ajecsc/v44y1985i4p497-502.html
   My bibliography  Save this article

‘Stagflation’: A Condition Created by Accelerated Demand Pull Inflation (Comment)

Author

Listed:
  • Leonard W. Martin

Abstract

. F. B. MacFarland's unorthodox model of oligopolistic‐price leadership‐pricing as a trigger of inflationary recession and so stagflation is disputed. His claim is challenged that auto companies respond to a leftwardshifting demand curve by raising price as a maximizing application of markup pricing notwithstanding the numerous theorists' writings presumably combined in “a partial explanation of stagflation,”Chrysler left the General Motors' umbrella in 1973 and individual auto models were obviously priced consistently with the Robinsonian algorithm in 1974, Oligopoly as a source of cost‐push inflation or stagflation is acceptable only if oligopoly is growing; but between 1958 and 1980 effective competition grew in the U.S. economy. Stagflation results from repeated accelerations of demand‐pull inflation to reduce unemployment below its natural rate as the Phillips curve shifts rightward.

Suggested Citation

  • Leonard W. Martin, 1985. "‘Stagflation’: A Condition Created by Accelerated Demand Pull Inflation (Comment)," American Journal of Economics and Sociology, Wiley Blackwell, vol. 44(4), pages 497-502, October.
    • Handle: RePEc:bla:ajecsc:v:44:y:1985:i:4:p:497-502
    DOI: 10.1111/j.1536-7150.1985.tb02386.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1536-7150.1985.tb02386.x
    Download Restriction: no
    File URL: https://libkey.io/10.1111/j.1536-7150.1985.tb02386.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ajecsc:v:44:y:1985:i:4:p:497-502. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0002-9246 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.