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why Australia's dominant model of unemployment and inflation no longer works

  • Written by John Quiggin, Professor, School of Economics, The University of Queensland
why Australia's dominant model of unemployment and inflation no longer worksShutterstock

As we approach the release of Monday’s employment white paper we can expect to hear a lot about something called the NAIRU – the so-called Non-Accelerating Inflation Rate of Unemployment.

This ungainly acronym, which currently dominates the thinking of both the Reserve Bank and the Treasury, derives its power almost...

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