Vol. 14 No. 1 (2026): Business & Management Studies: An International Journal
Articles

The validity of the Phillips curve in Türkiye: Evidence from the Cantile Fourier causality test and the wavelet transform consistency test

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  • Mustafa Yılmaz
Mustafa Yılmaz
Dr., Necmettin Erbakan University, Faculty of Applied Sciences, Department of International Trade and Finance, Konya, Türkiye

Published 2026-03-25

Keywords

  • Phillips Curve, Türkiye, Cantile Fourier Causality Test, Wavelet Transform Consistency Test
  • Phillips Eğrisi, Türkiye, Kantil Fourier Nedensellik Test, Dalgacık Dönüşüm Tutarlılığı Testi

How to Cite

The validity of the Phillips curve in Türkiye: Evidence from the Cantile Fourier causality test and the wavelet transform consistency test. (2026). Business & Management Studies: An International Journal, 14(1), 417-430. https://doi.org/10.15295/bmij.v14i1.2714

Copyright (c) 2026 Mustafa Yılmaz

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

How to Cite

The validity of the Phillips curve in Türkiye: Evidence from the Cantile Fourier causality test and the wavelet transform consistency test. (2026). Business & Management Studies: An International Journal, 14(1), 417-430. https://doi.org/10.15295/bmij.v14i1.2714

Abstract

The relationship between two important macroeconomic indicators, inflation and unemployment, has been extensively studied by economists. The inverse relationship between these two variables is often referred to as the Phillips curve. However, studies have shown that the inverse relationship between these two variables does not always hold. To this end, the validity of the Phillips curve is investigated using monthly inflation and unemployment data for the Türkiye's economy from January 2005 to August 2025. The relationship between these data is examined using current tests such as the Fourier-based Quantile Toda-Yamamoto causality test and wavelet transform consistency. The study's results generally show that the Phillips curve is invalid. However, evidence supporting the validity of the Phillips curve in the Türkiye's economy has been found for certain periods. These findings are limited to the relationship between the youth unemployment rate and the consumer price index.

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