Aggregate Phillips Curves Are Not Always Vertical: Heterogeneity And Mismatch In Multiregion Or Multisector Economies
AbstractThe aggregation of sectoral or regional Phillips curves yields aninflation unemployment trade-off that is not vertical in the longrun if there are mismatches between supply and demand in the regionalor sectoral labor markets. This remains true even when theindividual Phillips curves are all vertical. This result stems fromvariations in the slope of the individual short-run Phillips curves, rather than from changes to the equilibrium level of unemployment.It implies a role for the management of the distribution of demandover different sectors or regions, in order to minimize the naturalrate of unemployment.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Cambridge University Press in its journal Macroeconomic Dynamics.
Volume (Year): 4 (2000)
Issue (Month): 04 (December)
Contact details of provider:
Postal: The Edinburgh Building, Shaftesbury Road, Cambridge CB2 2RU UK
Fax: +44 (0)1223 325150
Web page: http://journals.cambridge.org/jid_MDYProvider-Email:email@example.com
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Luca Fanelli, 2006.
"Testing the New Keynesian Phillips Curve through Vector Autoregressive models : Results from the Euro area,"
Quaderni di Dipartimento
0, Department of Statistics, University of Bologna.
- Luca Fanelli, 2008. "Testing the New Keynesian Phillips Curve Through Vector Autoregressive Models: Results from the Euro Area," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 70(1), pages 53-66, 02.
- Fanelli, Luca, 2005. "Testing the New Keynesian Phillips curve through Vector Autoregressive models: Results from the Euro area," MPRA Paper 1617, University Library of Munich, Germany, revised Jan 2007.
- Karanassou, Marika & Sala, Hector & Snower, Dennis J., 2002.
"Long-Run Inflation-Unemployment Dynamics: The Spanish Phillips Curve and Economic Policy,"
IZA Discussion Papers
645, Institute for the Study of Labor (IZA).
- Karanassou, Marika & Sala, Hector & Snower, Dennis J., 2008. "Long-run inflation-unemployment dynamics: The Spanish Phillips curve and economic policy," Journal of Policy Modeling, Elsevier, vol. 30(2), pages 279-300.
- Karanassou, Marika & Sala, Hector & Snower, Dennis J., 2003. "Long-Run Inflation-Unemployment Dynamics: The Spanish Phillips Curve and Economic Policy," CEPR Discussion Papers 3690, C.E.P.R. Discussion Papers.
- Marika Karanassou & Hector Sala & Dennis Snower, 2007. "Long-Run Inflation-Unemployment Dynamics: The Spanish Phillips Curve and Economic Policy," Kiel Working Papers 1326, Kiel Institute for the World Economy.
- Marika Karanassou & Hector Sala & Dennis J. Snower, 2002. "Long-Run Inflation-Unemployment Dynamics: The Spanish Phillips Curve and Economic Policy," Working Papers 477, Queen Mary, University of London, School of Economics and Finance.
- Marika Karanassou & Hector Sala & Dennis J.Snower, 2002. "Long-run Inflation-Unemployment Dynamics: The Spanish Phillips Curve and Economic Policy," Working Papers wpdea0211, Department of Applied Economics at Universitat Autonoma of Barcelona.
- Andrea Vaona, 2006.
"Merging the Purchasing Power: Parity and the Phillips Curve Literatures: Regional Evidence from Italy,"
Kiel Working Papers
1282, Kiel Institute for the World Economy.
- Andrea Vaona, 2006. "Merging the Purchasing Power Parity and the Phillips Curve Literatures: Regional Evidence from Italy," Working Papers 33, University of Verona, Department of Economics.
- Demertzis, Maria & Hughes Hallett, Andrew & Schermer, Nicolien, 2009.
"Europeanization or globalization? Transnational wage bargaining and the distribution of activity in European labor markets,"
The North American Journal of Economics and Finance,
Elsevier, vol. 20(2), pages 177-192, August.
- Maria Demertzis & Andrew Hughes Hallett & Nicolien Schermer, 2008. "Europeanization or Globalization? Transnational Wage Bargaining and the Distribution of Activity in European Labor Markets," DNB Working Papers 186, Netherlands Central Bank, Research Department.
- M. Demertzis & A.J. Huges Hallett, 2001.
"Wage Inflation and the Distribution of Output Gaps in Europe: Insidersvs. Outsiders,"
DNB Staff Reports (discontinued)
59, Netherlands Central Bank.
- M. Demertzis & A. Hughes Hallett, 2000. "Wage Inflation and the Distribution of Output Gaps in Europe: Insiders vs. Outsiders," WO Research Memoranda (discontinued) 631, Netherlands Central Bank, Research Department.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Keith Waters).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.