IDEAS home Printed from https://ideas.repec.org/a/elg/rokejn/v5y2017i2p276-299.html
   My bibliography  Save this article

Real-wage versus wage-share targets in an open-economy model of the wage and price dynamics

Author

Listed:
  • Søren Harck

    (Department of Economics and Business Economics, Aarhus University, Denmark)

Abstract

This paper examines the properties of a model of the wage and price dynamics of an open economy allowing for dynamic inhomogeneity and, simultaneously, featuring an error-correction term in the wage as well as in the price equation. Specifically, it is concerned with bringing out the supply-side implications of distinguishing between wage-share and real-wage error correction in the nominal-wage dynamics. Put more generally, it aims to clarify how the supply-side constraints (in the shape of the wage and price dynamics) imposed on the demand side depend on the nature of the error-correction terms and on the dynamic-homogeneity properties.

Suggested Citation

  • Søren Harck, 2017. "Real-wage versus wage-share targets in an open-economy model of the wage and price dynamics," Review of Keynesian Economics, Edward Elgar Publishing, vol. 5(2), pages 276-299, April.
    • Handle: RePEc:elg:rokejn:v:5:y:2017:i:2:p276-299
    as

    Download full text from publisher

    File URL: https://www.elgaronline.com/abstract/journals/roke/5-2/roke.2017.02.08.xml
    Download Restriction: Restricted access
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Desogus, Marco & Casu, Elisa, 2020. "On the Monetary Causes of Inequality: A Review of the Literature and an Alternate Way Forward," MPRA Paper 114362, University Library of Munich, Germany.

    More about this item

    Keywords

    wage-share targets; real-wage targets; inflation; Phillips curve; unemployment;
    All these keywords.

    JEL classification:

    • E12 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Keynes; Keynesian; Post-Keynesian; Modern Monetary Theory
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:elg:rokejn:v:5:y:2017:i:2:p276-299. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Phillip Thompson (email available below). General contact details of provider: http://www.elgaronline.com/roke .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.