| jamchen |
i am doing my report now and is a bit struggling with this one... hope some of you guys can help me out!
The economic Philips curve, which has the formula of
percentage rate of change in wage level= (W(t)-W(t-1)/W(t-1)
and i've a model which follows this principal and i have
percentage rate of change in wage level = -0.337343+12.73175(1/u)
question is, if i differentiate this formula with respect to u, then i get p'age rate of change in wage level= -12.73175u^(-2)
where u is the unemployment. if i then sub a number for u and i have a single value, what would this value explain/state?:2: |
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