Testing the Phillips curve in Vietnam

Abstract

This paper employs qualitative and quantitative methods to test the theory of Philips Curve in Vietnam in the period between 2000 and 2014. The results show that the Philips Curve applies to the actual situation of the Vietnam’s economy, which is useful for both macro-economic planning by the Government and monetary policy making by the State Bank of Vietnam. The paper also suggests implications of an increased application of the Philips Curve to the economic policy management, thereby contributing to the stabilized socio-economic development in Vietnam.