IMF Staff papers : Volume 31 No. 2.

This paper examines the validity of the hypothesis that the level of the real wage rate, inclusive of employers' expenditures for social insurance and employment or payroll taxes, is a major obstacle to a return to high employment in industrial countries. The hypothesis is tested by estimating...

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Detaylı Bibliyografya
Müşterek Yazar: International Monetary Fund. Research Dept
Materyal Türü: Dergi
Dil:English
Baskı/Yayın Bilgisi: Washington, D.C. : International Monetary Fund, 1984.
Seri Bilgileri:IMF Staff Papers; IMF Staff Papers ; No. 1984/002
Online Erişim:Full text available on IMF
Diğer Bilgiler
Özet:This paper examines the validity of the hypothesis that the level of the real wage rate, inclusive of employers' expenditures for social insurance and employment or payroll taxes, is a major obstacle to a return to high employment in industrial countries. The hypothesis is tested by estimating a production function, solving it for the real wage rate that would be consistent with the high-employment level of labor input given the existing capital stock, and comparing this warranted wage with the actual real wage. The disequilibrium real wage rate hypothesis is based largely on the observation that, at least in manufacturing, the real wage rate defined from the employer's standpoint-that is, the nominal wage rate deflated by the value-added deflator rather than by the consumer price index-has tended to grow faster than labor productivity during the past decade and a half. Voluntarily or as a result of government regulation, firms purchase equipment that produces products that are omitted from the measured gross national product (GNP).
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Fiziksel Özellikler:1 online resource (198 pages)
Materyal Türü:Mode of access: Internet
ISSN:1020-7635
Erişim:Electronic access restricted to authorized BRAC University faculty, staff and students