United Phillips

Made then these initial clarifications, it fulfills to examine the theoretical model of Phillips, for, after that, proving the applicability of this model to the Brazilian reality, in the corresponding period to 1 FHC mandate. Finally, fa an analysis of the unemployment under the approach of the neoliberalismo and the globalization. 2. The inverse relation between inflation and unemployment: the curve of Phillips the relation between inflation and unemployment was studied for the first time by the English economist. the P. Phillips, in 1958, using statisticians of the United kingdom, between 1862 and 1957, relation this that was known in economic literature as Arched dePhillips.

' ' This curve showed that it exists, empirically, one trade-off (inverse relation) enters the taxes of nominal wages (that they can be associates to the inflation) and the taxes of desemprego.' ' (VASCONCELOS and GARCI’A, 2004:185). In other words, Phillips observed, from these British statisticians, who to the measure where the inflation grows the unemployment diminish and to the measure where the inflation diminishes, the unemployment increases. The model of Phillips is relatively simple of being demonstrated graphically. Placing in the vertical axle the inflation taxes and in the horizontal axle the Brazilian taxes of unemployment (both collected by the IBGE in the years of 1995 and 1999), are perceived that when the inflation falls of 22%para 3%, the unemployment increase of 13% for 19%. This was accurately what it happened in Brazil between 1995 and 1999, during the first mandate of FernandoHenrique Cardoso. Proven, of this form, the applicability of the Curve of Phillips to the Brazilian reality, it fulfills to clarify that the period of analysis chosen in this research, 1995 the 1999, must it the fact of that was from this phase that if instituted neoliberalimo and the globalization in Brazil, whose politics are come close perpetuating until today. However, it does not intend, logically, with this, to demonstrate that it is preferable to coexist high levels of taxes inflationary to preserve a lesser level of unemployment.