This is the result of deep and complex transformations, which are related to: i)  The rapid insertion into a globalized world of labor-intensive economies and regions;  ii)  The direct and indirect costs of the major financial crisis;  iii)  The revolution in information technologies and its impact on labor and daily life; and,  3  iv)  The growing gap between citizens’ expectations and their development opportunities.
These channels may be captured by the global output gap and global markup of price over cost as additional explanatory variables in the standard Phillips curve equation, in addition to import prices.