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Contrats salariaux, rétention de main-d’œuvre et cycle économique
[Wage Contracts, Labor Retention and Economic Cycle]

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  • Khazri, Afifa

Abstract

In this paper, we study the dynamic propagation of the output and the existence of a significant n nominal component in the Solow residual using a DGE model. Nominal wage rigidity and labor retention are introduced as internal propagation mechanisms. The economy is disrupted by technological, fiscal and monetary shocks. The variance of Solow's residual is fully explained by the technological shock. With the introduction of wage contracts, and following a monetary shock, the contribution of the technology shock to the variance of the Solow residual decreases to 13%, while that of the monetary shock is 80%.

Suggested Citation

  • Khazri, Afifa, 1999. "Contrats salariaux, rétention de main-d’œuvre et cycle économique [Wage Contracts, Labor Retention and Economic Cycle]," MPRA Paper 86755, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:86755
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    References listed on IDEAS

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    More about this item

    Keywords

    DGE model; Solow residual; Business Cycle; Monetary and Technologie Shocks; Labor Retention;
    All these keywords.

    JEL classification:

    • E3 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • E37 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Forecasting and Simulation: Models and Applications

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