Phillips curve and inflation mechanism in China

The Phillips curve around the debate has never stopped, to the specific circumstances of the inflation behavior of the Phillips curve, it is important to explore the underlying causes of change curve of the reasons. This paper argues that productivity is the displacement of the Phillips curve interpretation of the core variables, productivity faster than the nominal amount of the adjustment will be formed to resolve the strength of inflationary pressures. In this paper, a simple Phillips curve is expected to increase to make amendment to the productivity of price adjustment results fitted well with the dynamic of inflation in China, highlighting the Phillips curve, after correction for the Chinese anti-inflation measures, practical significance.