Open-economy Phillips Curve Research Articles

The secular inflation term in open-economy Phillips curves

Robert Flood has compared three alternative specifications for the secular inflation term in an open-economy Phillips curve, attributed, respectively, to Buiter-Miller, and Frankel and Mussa. We point out (1) an arithmetic error, (2) the equivalence of the Frankel and Mussa versions, and (3) some arguments against the Buiter-Miller version.