I have plotted the annual inflation (CPI-U) vs unemployment. The green line represents the time Thomas B. McCabe was the Fed Chairman (April 15, 1948 – April 2, 1951). The gray line represent the years 1948-2007.

In traditional economic theory, the Phillips curve describes the inverse relationship between inflation and unemployment, i.e. when inflation is high, unemployment is low. This was true in the United States in the 60s but not other time periods

{Click on the image to take a closer look}

Data from Bureau of Labor Statistics

[tags]United States, Inflation, Unemployment[/tags]

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I have plotted the annual inflation (CPI-U) vs unemployment. The green line represents the time William Martin was the Fed Chairman (April 2, 1951 – February 1, 1970). The gray line represent the years 1948-2007.

In traditional economic theory, the Phillips curve describes the inverse relationship between inflation and unemployment, i.e. when inflation is high, unemployment is low. This was true in the United States in the 60s but not other time periods

{Click on the image to take a closer look}

Data from Bureau of Labor Statistics

[tags]United States, Inflation, Unemployment[/tags]

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I have plotted the annual inflation (CPI-U) vs unemployment. The green line represents the time Arthur Burns was the Fed Chairman (February 1, 1970 – January 31, 1978). The gray line represent the years 1948-2007.

In traditional economic theory, the Phillips curve describes the inverse relationship between inflation and unemployment, i.e. when inflation is high, unemployment is low. This was true in the United States in the 60s but not other time periods

{Click on the image to take a closer look}

Data from Bureau of Labor Statistics

[tags]United States, Inflation, Unemployment[/tags]

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I have plotted the annual inflation (CPI-U) vs unemployment. The green line represents the time William Miller was the Fed Chairmen (March 8, 1978 – August 6, 1979). The gray line represent the years 1948-2007.

{Click on the image to take a closer look}

The series of plots I have been posting, look at the relationship between inflation and unemployment. In traditional economic theory, the Phillips curve predicts that as inflation goes up unemployment goes down. However, this was true only up to the late 60s in the United States.

Data from Bureau of Labor Statistics

[tags]United States, Inflation, Unemployment[/tags]

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I have plotted the annual inflation (CPI-U) vs unemployment. The green line represents the time Paul Volcker was the Fed Chairman (August 6, 1979 – August 11, 1987). The gray line represent the years 1948-2007.

{Click on the image to take a closer look}

Data from Bureau of Labor Statistics

[tags]United States, Inflation, Unemployment[/tags]

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