targeting affect unemployment, economic growth and the output gap. The results show that inflation targeting causes no harm to … employment in developing and emerging countries. On the contrary, it might reduce average unemployment and narrow the output gap …

This paper provides a critique of the "unemployment invariance hypothesis", according to which the behavior of the … labor market ensures that the long-run unemployment rate is independent of the size of the capital stock, productivity and … the equilibrating mechanisms to ensure unemployment invariance; in particular, other markets may perform part of the …