If unemployment could be brought down to say 2 percent at…
“If unemployment could be brought down to say 2 percent at the cost of an assured steady rate of inflation of 10 percent per year, or even 20 percent, this would be a good bargain.”
About This Quote
This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.
A modest inflation rate may be acceptable if it dramatically lowers unemployment.
In simple terms: Low unemployment may justify higher inflation.
Key Takeaway
Weigh inflation against job creation.
Themes
economics
inflation
unemployment
policy
trade‑off
Mood
cautious
pragmatic
Type
economic
policy
When to use this quote
- central banking decisions
- fiscal stimulus
- labor market reforms
- public debate
- media analysis
Key Concepts
macroeconomic theory
Phillips curve
monetary policy
Questions to Reflect On
- What inflation level is tolerable?
- How to protect vulnerable groups?
A Different Perspective
High inflation can erode purchasing power and savings.