Macroeconomic Unemployment and Structural Unemployment

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Macroeconomic Unemployment and Structural Unemployment

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Pierre Fortin

Abstract

During the 1990s, the lowest sustainable rate of unemployment (LSRU) in Canada declined from the 7.5-to-8% range to perhaps around 6%. Barring an international recession and excessive rigidity on the part of the central bank, Canada could achieve this 6% unemployment level within a few quarters. There is a good persumption that eliminating macroeconomic unemployment and keeping the unemployment rate close to the LSRU level could help reduce structural unemployment.

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Article provided by University of Toronto Press in its journal Canadian Public Policy.

Volume (Year): 26 (2000)
Issue (Month): s1 (July)
Pages: 125-130
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Handle: RePEc:cpp:issued:v:26:y:2000:i:s1:p:125-130

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

George A. Akerlof & William R. Dickens & George L. Perry, 1996. "The Macroeconomics of Low Inflation," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 27(1996-1), pages 1-76. [Downloadable!]
Stiglitz, Joseph, 1997. "Reflections on the Natural Rate Hypothesis," Journal of Economic Perspectives, American Economic Association, vol. 11(1), pages 3-10, Winter. [Downloadable!] (restricted)
Tobin, James, 1972. "Inflation and Unemployment," American Economic Review, American Economic Association, vol. 62(1), pages 1-18, March.
W. Craig Riddell & Andrew Sharpe, 1998. "The Canada-US Unemployment Rate Gap: An Introduction and Overview," Canadian Public Policy, University of Toronto Press, vol. 24(s1), pages 1-37, February. [Downloadable!] (restricted)
Franco Modigliani & Lucas Papademos, 1975. "Targets for Monetary Policy in the Coming Year," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 6(1975-1), pages 141-166. [Downloadable!]
Charles Freedman & Tiff Macklem, 1998. "A Comment on "The Great Canadian Slump"," Canadian Journal of Economics, Canadian Economics Association, vol. 31(3), pages 646-665, August. [Downloadable!] (restricted)

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This page was last updated on 2009-12-9.

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