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Does the Phillips curve exist in the Philippines?

Author

Listed:
  • Fumitaka Furuoka

    () (University of Malaya)

  • Qaiser Munir

    () (Universiti Malaysia Sabah)

  • Hanafiah Harvey

    () (Pennsylvania State University)

Abstract

This paper examines an intricate relationship between inflation rate and unemployment rate in the Philippines by employing several economic methods, including the dynamic ordinary least squares (DOLS) (Stock and Watson, 1993) and the Hodrick-Prescott filter (Hodrick and Prescott, 1997). The current research detected a long-run negative and a causal relationship between inflation rates and unemployment in the Philippines. In other words, the current study offered an additional empirical support for the existence of the Phillips curve in the developing countries, such as the Philippines.

Suggested Citation

  • Fumitaka Furuoka & Qaiser Munir & Hanafiah Harvey, 2013. "Does the Phillips curve exist in the Philippines?," Economics Bulletin, AccessEcon, vol. 33(3), pages 2001-2016.
  • Handle: RePEc:ebl:ecbull:eb-12-00496
    as

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    File URL: http://www.accessecon.com/Pubs/EB/2013/Volume33/EB-13-V33-I3-P188.pdf
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    References listed on IDEAS

    as
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    6. John DiNardo & Mark P. Moore, 1999. "The Phillips Curve is Back? Using Panel Data to Analyze the Relationship Between Unemployment and Inflation in an Open Economy," NBER Working Papers 7328, National Bureau of Economic Research, Inc.
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    Citations

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    Cited by:

    1. Andrea Vaona, 2015. "Anomalous empirical evidence on money long-run super-neutrality and the vertical long-run Phillips curve," Working Papers 17/2015, University of Verona, Department of Economics.
    2. Andrea Vaona, 2016. "The Classical Dichotomy fails in the Eurozone," Economics Bulletin, AccessEcon, vol. 36(4), pages 2183-2191.

    More about this item

    Keywords

    Price level; inflation; deflation Employment; unemployment; wages;

    JEL classification:

    • E3 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles
    • E2 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment

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