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Theoretical Foundations for Sticky Wages

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  • Haley, James
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    Abstract

    The paper compares three different types of theoretical explanation of "sticky" wages. They are implicit contracts, efficiency wage models and insider/outsider models. It then reconsiders Keynes' rational for sticky wages, which focuses on relative wage issues. Finally, the paper considers possible directions for future research. Copyright 1990 by Blackwell Publishers Ltd

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    Bibliographic Info

    Article provided by Wiley Blackwell in its journal Journal of Economic Surveys.

    Volume (Year): 4 (1990)
    Issue (Month): 2 ()
    Pages: 115-55

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    Handle: RePEc:bla:jecsur:v:4:y:1990:i:2:p:115-55

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    Web page: http://www.blackwellpublishing.com/journal.asp?ref=0950-0804

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    Cited by:
    1. Erica L. Groshen & Mark E. Schweitzer, 1997. "Identifying Inflation's Grease and Sand Effects in the Labor Market," NBER Working Papers 6061, National Bureau of Economic Research, Inc.
    2. Hau, Harald, 2000. "Exchange rate determination: The role of factor price rigidities and nontradeables," Journal of International Economics, Elsevier, vol. 50(2), pages 421-447, April.
    3. Hau, Harald, 2002. "Real Exchange Rate Volatility and Economic Openness: Theory and Evidence," Journal of Money, Credit and Banking, Blackwell Publishing, Blackwell Publishing, vol. 34(3), pages 611-30, August.
    4. Erica L. Groshen & Mark E. Schweitzer, 1996. "Macro- and microeconomic consequences of wage rigidity," Working Paper 9607, Federal Reserve Bank of Cleveland.
    5. Agenor, Pierre-Richard & Santaella, Julio A., 1998. "Efficiency wages, disinflation and labor mobility," Journal of Economic Dynamics and Control, Elsevier, Elsevier, vol. 22(2), pages 267-291, February.
    6. Erica L. Groshen & Mark E. Schweitzer, 1994. "The effects of inflation on wage adjustments in firm-level data: grease or sand?," Working Paper 9418, Federal Reserve Bank of Cleveland.

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