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Overtime Working, The Phillips Curve And The Wage Curve: British Engineering, 1926-66

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  • Robert A. Hart

    (University of Stirling, Scotland)

Abstract

This paper shows that wage-unemployment elasticities derived from estimated wage curves and Phillips curves may be critically dependent on the measurement of wages. Incorporating hourly wage earnings that include the influence of overtime payments can lead to seriously distorted results. Meaningful elasticities are obtained only if hourly standard wages form the basis of analysis. Work is based on a unique data set describing two homogeneous blue-collar occupational groups-skilled fitters and unskilled labourers-in the British engineering industry. Each group is also divided into timeworkers and piece-rate workers. Data are aggregated into a panel of 28 local labour markets and cover the highly contrasting periods 1928-38 and 1954-66. Copyright 2003 Blackwell Publishing Ltd and The Victoria University of Manchester.

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Bibliographic Info

Article provided by University of Manchester in its journal The Manchester School.

Volume (Year): 71 (2003)
Issue (Month): 2 (03)
Pages: 97-112

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Handle: RePEc:bla:manchs:v:71:y:2003:i:2:p:97-112

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Cited by:
  1. Victor Montuenga & Roberto Bande & Melchor Fernandez, 2011. "Wage flexibility and local labour markets: homogeneity of the wage curve in Spain," ERSA conference papers ersa11p414, European Regional Science Association.
  2. Fumitaka Furuoka & Qaiser Munir & Hanafiah Harvey, 2013. "Does the Phillips curve exist in the Philippines?," Economics Bulletin, AccessEcon, vol. 33(3), pages 2001-2016.
  3. Fumitaka Furuoka & Chong Mun Ho, 2009. "Phillips curves and openness: New evidence from selected Asian economies," Economics Bulletin, AccessEcon, vol. 29(1), pages 253-264.
  4. Fumitaka Furuoka, 2007. "Does the “Phillips Curve” Really Exist? New Empirical Evidence from Malaysia," Economics Bulletin, AccessEcon, vol. 5(16), pages 1-14.
  5. Islam, Faridul & Shahbaz, Muhammad & Shabbir, Muhammad, 2011. "Phillips curve in a small open economy: A time series exploration of North Cyprus," MPRA Paper 28397, University Library of Munich, Germany.
  6. repec:ebl:ecbull:v:5:y:2007:i:16:p:1-14 is not listed on IDEAS
  7. Victor Montuenga & Inmaculada Garcia, 2011. "The wage dynamics in Spain: evidence from individual data," ERSA conference papers ersa11p585, European Regional Science Association.

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