On 4/12/2014 12:34 AM, Robert Leeson wrote:
> In the 'Case for Flexible Exchange Rates', Friedman (1953,
> 200) argued that removing the fixed exchange rate
> constraint allowed each country to pick a point on
> a ‘Phillips curve’ “according to its own lights … flexible
> exchange rates are a means of combining interdependence
> among countries through trade with a maximum of internal
> monetary independence”.

Just to be clear, as I do not have the essay at hand,
it does not speak of Phillips and certainly not
of a Phillips curve, right? Phillips's Economica paper,
published  in 1958, addressed wage behavior not
price behavior.  Friedman's essay does
acknowledge wage rigidity as a possible source of
unemployment, but that is quite different.

Thank you,
Alan Isaac