G8 Ülkeleri̇nde Phillips Eğri̇si̇ni̇n Geçerli̇li̇ği̇: Panel Nedenselli̇k Anali̇zi̇

Abstract

Inflation and unemployment are among the important macroeconomic indicators. The existence of dec relationship between unemployment and inflation in the economic literature is explained with the help of the Phillips Curve. Deconstructing the existence of a negative relationship between inflation and unemployment, this approach suggests that there is an exchange between inflation and unemployment. In this study, the world's most developed economy and industry in the field of eight countries known as the G8 (Canada, France, Germany, Italy, Japan, Russia, UK and USA) in the countries of the annual period 1993-2020 unemployment and inflation, using data for the validity of the Phillips curve is examined. As an econometric method, Konya (2006) Panel Causality analysis is used. The findings obtained for the panel as a whole show that the Phillips Curve is valid in the G8 countries. This result shows that governments should make policies to minimize inflation and unemployment rates in the economy.