The speed of price adjustment is indicated by the Phillips curve. From a Keynesian viewpoint, the Phillips curve should slope down so that higher unemployment means lower inflation, and vice versa. You can read about the Inflation in Economy- Types of Inflation, Inflation Remedies [UPSC Notes] in the given link.
A Phillips curve shows the tradeoff between unemployment and inflation in an economy.
Further readings:
- Inflation Targeting: Methods, Drawbacks and Benefits
- Indian Economy Notes For UPSC Exam [Download PDFs]
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