NAIRU

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What is full employment in Canada ? / Too few Canadians are unemployed to meet the inflation target writes CIBC

The Bank of Canada is careful to express the degree of slack in the economy through reference to the “output gap,” a measure tied to real GDP. That avoids ever having to say that too few Canadians are unemployed to meet the inflation target, but that’s really what’s implied when the output gap turns positive writes CIBC Continue reading

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