For about 25 years before the COVID-19 pandemic, inflation was very low and  stable in most advanced economies. A little noticed dark side of this impressive  achievement is that unemployment rates were almost always higher than needed  to keep inflation low. This widespread and persistent policy error arose because  of a major flaw in standard macroeconomic models—the use of a linear Phillips  curve. This flaw would have been far less costly if central banks had not chosen  such a low target for inflation. This paper thus adds to the arguments in favor of  a moderately higher inflation target. Even without a higher target, central banks  need to use a broader range of economic models and should verify their estimates  of the natural rate of unemployment by running the economy hot from time to  time in order to see nascent inflationary pressure before throttling back.