Phillips Curve for Brazil and United States
Phillips curve; Triangle Model; Unemployment; Occupation; Hamilton filter; Hodrick-Prescot filter; Brazil; USA
For decades, the Phillips Curve has evolved to analyze the effects not only of Demand on
prices, but also of Supply Shocks, Inflationary Inertia and, more recently, the Distributive
Conflict. Although such elements have their importance recognized, much is still debated
on how to best represent them. In this sense, this work seeks to investigate the effects of
these elements on the inflationary dynamics of Brazil and the United States of America,
using the most recent version of the Phillips Curve Triangle Model and experimenting
with new variables and methods to analyze their realities. Noteworthy is the use of
Occupancy Level as one of the Demand variables options and the comparison of results
between the Hamilton and Hodrick-Prescot statistical filters.