TABLE OF CONTENT. 8 LIST OF TABLES ............................................................................................................ 9 LIST OF ABBREVATIONS .......................................................................................... 10 LIST OF APPENDIXES ................................................................................................ 11 INTRODUCTION........................................................................................................... 12 CHAPTER ONE THEORITICAL APPROACH. 14 CHAPTER TWO LITERATURE REVIEW .............................................................. 16 2.1 L ITERATURE REVIEW ON UNEMPLOYMENT ............................................................................................................16 LITERATURE REVIEW ON INFLATION ......................................................................................................................17 LITERATURE REVIEW ON THE RELATIONSHIP BETWEEN UNEMPLOYMENT AND INFLATION .........................................19