Regional Wage Inflation and Unemployment Dynamics in Great Britain
This paper develops a two-equation model of the regional labor market in which wage inflation and unemployment rates are jointly endogenous variables. The model is tested on annual data for the ten standard regions of Great Britain over the 1971-85 period. In addition, an exploratory analysis of the factors associated with regional differences in wage rigidity is presented. Copyright 1992 by Scottish Economic Society.
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