How does the Phillips Curve relate to monetary policy in an economy?

The Phillips Curve shows the relationship between inflation and unemployment in an economy. It suggests that when unemployment is low, inflation tends to be high because more people are working and spending money. Conversely, when unemployment is high, inflation is usually low because fewer people have jobs and spend less. This relationship helps policymakers, like central banks, decide how to adjust interest rates to control inflation while trying to keep unemployment low. For example, if unemployment is rising, a central bank might lower interest rates to encourage borrowing and spending, aiming to boost the economy and reduce unemployment.