Jean-Claude Trichet: Interview with Der Standard, De Standaard, La Tribune, Süddeutsche Zeitung and L'Echo An interview with Mr Jean-Claude Trichet, President of the European Central Bank, conducted by Ms Birgit Baumann (Der Standard), Mr Luc Coppens (De Standaard), Ms Isabelle Croizard (La Tribune), Ms Helga Einecke (Süddeutsche Zeitung) and Ms Catherine Mommaerts (L'Echo), published on 15 March 2006.
Another explanation is that higher inflation destroys the value of people’s wages, so they become cheaper to hire and employment rises.11 The empirical evidence for the Phillips curve, however, is just not there – as researchers have repeatedly reminded us.12 In fact, South Africa tends to get stronger economic growth and more job creation when inflation is low, in part because of demand effects but mostly from stronger productivity growth and investment.