Phillips Curve Still Works, but Inputs Have Changed, Rooney Vera Says

The video discusses Jay Powell's economic terms: u star, r star, and π star, which represent the natural rate of unemployment, the neutral rate of interest, and the inflation objective, respectively. It highlights the challenges market participants face when traditional models may not work as expected. The discussion also covers the Phillips Curve, emphasizing that while it is not defunct, its inputs have changed due to structural phenomena, leading to lower equilibrium rates of unemployment and interest.

What does the speaker suggest about the relationship between unemployment and inflation?

How have the inputs to the Phillips Curve changed according to the speaker?