Review of Explaining Growth: A Global Research Perspective, edited by Gary McMahon and Lyn Squire; and Productivity Growth, Inflation, and Unemployment: The Collected Essays of Robert J. Gordon by Robert J. Gordon

One of the costs of high levels of inflation may be misperceptions of relative prices and excessive volatility in sectoral output. This paper, therefore, examines the relationship between the level of inflation and sectoral output growth variability in Canada from 1961:1 to 1995:4. Despite the...