Karanassou, Marika (contributor); Sala, Hector (contributor) - 2006
and NAIRU are not synonymous. In contrast, the view of
Ball and Mankiw (2002) is that the two concepts are approximately … synonyms. Karanassou, Sala, and
Snower (2006) show that the NRU/NAIRU distinction becomes superfluous within their framework of … (TV-NAIRU).
4
We illustrate the conventional wisdom with a simple example. Figure 1 plots the
actual and natural rates of …