#nairu — Public Fediverse posts

@Bot4Sale
#Labor already has made some changes to the #RBA Board composition in the hope of bringing a more diverse set of competencies (not sure if it is working or not — haven’t paid much attention to that). As for financial levers, ‘printing’ money, setting the Cash rate, regulating banking and issuing Bonds is the extent of their economic toolkit. They have one main job and that it to manage inflation (though the arbitrary 2% to 3% set range is ludicrous in my view). There are other responsibilities which complete the monetary policy portfolio but they don’t have as major an impact on inflation. The problem is the RBA’s steadfast application of #NeoLiberal (aka neo-classical) economic thinking and the #NAIRU (non-accelerating inflation rate of unemployment - wikipedia). Modern Money Theory (#MMT) would do away with the separtion of economic responsibility and bring the RBB back into govt control.

Again, happy to have any economist jump in to correct my assumptions and understanding.

Are we starting to see some sort of pushback against the neoliberal thinking of the majority of economists who harp on about the wage-inflation spiral — or to put it another way the need for some workers to live on the dole so that the rest of us can have a more confortable life free of inflationary pressures.

Here is someone other than #GregJericho of The Australian Institute that also thinks this #RBA mantra is utter bull dust.

“…[economists] obsess about an oft talked about, but mysterious concept called the NAIRU, the non-accelerating inflation rate of unemployment.

The theory goes that, if you have just the right amount of workers on the unemployment scrap heap, you can keep inflation in check.

The problem is that no-one knows exactly what the magic unemployment rate is. Even more confusing, it seems to change and, on occasions, such as the past few years, not hold true at all.”

Read more
https://www.abc.net.au/news/2026-02-21/why-economists-hate-low-unemployment-for-inflation/106367852

#unemployment #WageInflationSpiral #NAIRU #Economy #AusPol #NeoClassicalEconomics #NeoLiberalEconomicTheory
#CapoitalismUnbound

Le taux de chômage n'accélérant pas l’inflation. (2017)
https://www.informassue.tuxfamily.org/pages/democratie_election.php?art=inflation_chomage
les pouvoirs en place ne cherchent pas à réduire le #chômage, ils adaptent le taux de chômage pour maintenir un taux d'#inflation stable.

Illustration Miss Lilou
https://dessinsmisslilou.over-blog.com/2017/12/de-l-utilite-economique-et-sociale-du-chomeur.html

#NAIRU #Emploi #Économie #Social #Politique #Société #Salarié #Salaire #Travailleurs #Emploi

Pluralistic: The enshittification of labor (07 Nov 2025)

https://web.brid.gy/r/https://pluralistic.net/2025/11/07/postwar-social-contract/

@dellway
Work more Phil?

What is the current #NAIRU (Non-accelerating inflation rate of unemployment is a theoretical level of unemployment below which inflation would be expected to rise. - WP) Phil?

It is above the current unemployment rate isn't it Phil.
And you are trying to increase unemployment cause you think that will help prevent inflation hey Phil.

Throw more folk under the bus, for the good of your economy, and preach, "Work more".
#EatCake #AusPol #Unemployment #Economics

@dellway
Work more Phil?

What is the current #NAIRU (Non-accelerating inflation rate of unemployment is a theoretical level of unemployment below which inflation would be expected to rise. - WP) Phil?

It is above the current unemployment rate isn't it Phil.
And you are trying to increase unemployment cause you think that will help prevent inflation hey Phil.

Throw more folk under the bus, for the good of your economy, and preach, "Work more".
#EatCake #AusPol #Unemployment #Economics

@dellway
Work more Phil?

What is the current #NAIRU (Non-accelerating inflation rate of unemployment is a theoretical level of unemployment below which inflation would be expected to rise. - WP) Phil?

It is above the current unemployment rate isn't it Phil.
And you are trying to increase unemployment cause you think that will help prevent inflation hey Phil.

Throw more folk under the bus, for the good of your economy, and preach, "Work more".
#EatCake #AusPol #Unemployment #Economics

@dellway
Work more Phil?

What is the current #NAIRU (Non-accelerating inflation rate of unemployment is a theoretical level of unemployment below which inflation would be expected to rise. - WP) Phil?

It is above the current unemployment rate isn't it Phil.
And you are trying to increase unemployment cause you think that will help prevent inflation hey Phil.

Throw more folk under the bus, for the good of your economy, and preach, "Work more".
#EatCake #AusPol #Unemployment #Economics

@dellway
Work more Phil?

What is the current #NAIRU (Non-accelerating inflation rate of unemployment is a theoretical level of unemployment below which inflation would be expected to rise. - WP) Phil?

It is above the current unemployment rate isn't it Phil.
And you are trying to increase unemployment cause you think that will help prevent inflation hey Phil.

Throw more folk under the bus, for the good of your economy, and preach, "Work more".
#EatCake #AusPol #Unemployment #Economics