About This Chapter
Inflation and Unemployment
Unemployment is an unfortunate reality for many people these days, and there are a lot of different ways to solve that problem. In addition to hearing about unemployment, you've probably also heard some talk about inflation. But how deeply do you understand these two hot topics on a conceptual level? By watching these video lessons on inflation and unemployment taught by knowledgeable instructors, you can gain some insight into what causes widespread unemployment.
If you've been paying attention to the news lately, it will come as no surprise to hear that there are a lot of factors in play when it comes to the economy. These lessons focus on concepts like the Phillips curve model, a system that describes the relationship between inflation and unemployment.
After introducing the Phillips curve, these inflation and unemployment lessons will go further in-depth to help you understand the factors in play that will help shift the curve. Additionally, you'll learn about the short- and long-term behavior of the Phillips curve, and see how unemployment and inflation relate to each other over a given period of time. You'll also see that inflation is not always predictable, and though some inflation is expected, other inflation comes about as a surprise.
As you progress through this chapter, you can check how well you're absorbing the presented information through our short, multiple-choice quizzes.
1. The Phillips Curve Model: Inflation and Unemployment
Can we have low unemployment and low inflation at the same time? Some economists think the answer is no. In this lesson, we'll explore the relationship between inflation and unemployment in the short run, what economists call the Phillips Curve.
2. Factors That Shift the Phillips Curve
Inflation and unemployment are inversely related. In this lesson, discover the factors that lead to a shift in the Phillips Curve by looking at a fictitious economy as an example.
3. The Phillips Curve in the Short Run: Economic Behavior
Economists have ways to describe the changes in the economy. In this lesson, discover the short-term relationship between inflation and unemployment - what economists refer to as the Phillips Curve.
4. The Phillips Curve in the Long Run: Inflation Rate
How do unemployment and inflation affect each other? In this lesson, you'll discover why the Phillips curve is vertical in the long run with the help of some real world examples.
5. Inflation & Unemployment Relationship Phases: Phillips, Stagflation & Recovery
High inflation and unemployment are two things we don't like to see in the economy. In this lesson, you'll learn about the relationship between inflation and unemployment and three distinct phases of this relationship.
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Other chapters within the Economics 102: Macroeconomics course
- Scarcity, Choice, and the Production Possibilities Curve
- Comparative Advantage, Specialization and Exchange
- Demand, Supply and Market Equilibrium
- Measuring the Economy
- Inflation Measurement and Adjustment
- Understanding Unemployment
- Aggregate Demand and Supply
- Macroeconomic Equilibrium
- Economic Growth and Productivity
- Money, Banking and Financial Markets
- Central Bank and the Money Supply
- Fiscal and Monetary Policies
- Foreign Exchange and the Balance of Payments
- Inflows, Outflows, and Restrictions
- Studying for Economics 102