Technological Progress, the Real Exchange Rate, and the Natural Rate of Unemployment
AbstractThis paper relates two canonical issues in macroeconomics: the effect of technological progress on the real exchange rate and the effect of technological progress on the natural rate of unemployment. In the context of a Ricardian model with traded and nontraded goods, I show that technological progress in tradables an nontradables can have dramatically different effects on unemployment rates, depending upon the structure of wage bargaining.
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Bibliographic InfoPaper provided by California Irvine - School of Social Sciences in its series Papers with number 00-03.
Length: 41 pages
Date of creation: 2000
Date of revision:
Contact details of provider:
Postal: UNIVERSITY OF CALIFORNIA IRVINE, SCHOOL OF SOCIAL SCIENCES, IRVINECALIFORNIA 91717 U.S.A.
TECHNOLOGY ; EXCHANGE RATE ; UNEMPLOYMENT;
Find related papers by JEL classification:
- E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
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