The Phillips Curve and the Federal Reserve: Were the 1999-2000 Interest Rate Hikes Really Necessary?
A critical issue for monetary policy and corporate planning is whether the disappearance of the negative relationship between inflation rates and unemployment rates since 1992 has continued and is permanent. In 1999, the Fed believed that the Phillips Curve was reasserting itself when it increased interest rates. In analysis of data through April 2001, the Phillips Curve has not re-emerged, indicating that the Fed still has some room to use monetary policy to stimulate the economy, without triggering inflation - for the time being.
Corrigan, Thomas D., Yatrakis, Pan G. " The Phillips Curve and the Federal Reserve: Were the 1999-2000 Interest Rate Hikes Really Necessary?" Business Economics 36.3 (2001): 33-39.