Abstract
This article considers such an economic indicator as non-accelerating inflation rate of unemployment (NAIRU).
It is often used when considering macroeconomic models for estimating and forecasting the inflation rate as one of the
factors. The article provides a brief description of what NAIRU is and what methods of its evaluation exist. The main
methods of estimating the non-accelerating inflation rate of unemployment can be divided into one-dimensional and
multidimensional approaches. One-dimensional methods unambiguously focus on the time series of the unemployment
rate and decompose it into a trend component, identified as NAIRU, and a residual (cyclical) component.
Multidimensional methods, in turn, imply considering third-party factors in the decomposition of inflation into NAIRU
and a residual component, for example, taking into account the inflation rate. The article also presents the positive and
negative aspects of various methods.
It is often used when considering macroeconomic models for estimating and forecasting the inflation rate as one of the
factors. The article provides a brief description of what NAIRU is and what methods of its evaluation exist. The main
methods of estimating the non-accelerating inflation rate of unemployment can be divided into one-dimensional and
multidimensional approaches. One-dimensional methods unambiguously focus on the time series of the unemployment
rate and decompose it into a trend component, identified as NAIRU, and a residual (cyclical) component.
Multidimensional methods, in turn, imply considering third-party factors in the decomposition of inflation into NAIRU
and a residual component, for example, taking into account the inflation rate. The article also presents the positive and
negative aspects of various methods.
Translated title of the contribution | Features of the econometric calculation of the non-accelerating inflation rate of unemployment (NAIRU) |
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Original language | Russian |
Pages (from-to) | 132-135 |
Journal | Скиф. Вопросы студенческой науки |
Issue number | 8 (60) |
State | Published - Aug 2021 |
Keywords
- econometrics
- inflation
- unemployment
- NAIRU
- one-dimensional approach
- multidimensional approach