Phillips Curve: An Empirical Research on Romania

Abstract

This paper analyses the Phillips curve for Romania, eventually choosing the optimal type of model, while also analysing the implications on monetary policy. In order to create, test and analyse the Phillips curve, we utilised a backward-looking model. For empirical analysis we used the annual data obtained from the National Institute of Statistics for a period between 1991 and 2018.

Keywords

• phillips curve
• inflation
• unemployment
• nonlinearity