RDP 2008-05: Understanding the Flattening Phillips Curve Equation

∑ i = 0 ∞ ( γ f 1 − γ f P ) i E t m c t + i = ∑ i = 0 ∞ ( γ f ρ 1 − γ f P ) i m c t = m c t 1 − γ f ρ 1 − γ f P . MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=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@754D@