Relationship between Inflation and Productivity:A Theoretical Approach

The relationship between inflation and productivity has attracted a lot of attention from economists from applied and theoretical point of views. Regarding the expected contribution of productivity to economic growth in the document of twenty years outlook of Iranian economy, and that the Iran economy has suffered high inflation in the recent years, this issue is of specific importance for policy makers. The current literature about the relationship between inflation and productivity is almost narrow. Considering this background, in this research we are going to investigate this linkage more deeply to extend the theoretical literature.