Classical Unemployment, Accommodation Policies and the Adjustment of Real Wages
Year: 1986
Type: book-chapter
Abstract: A model of wage formation and stabilization policy in economies with strong trade unions is developed. The analysis provides a theoretical underpinning for the assertion that accommodation policies may cause wage inflation and ultimately reduce employment. Various methods of accomplishing a real wage adjustment are discussed: (I) a policy of complete nonaccommodation; (2) continued accommodation policies but with lower employment targets; (3) social contracts; and (4) tax-based incomes policies (TIP). These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
Source: Palgrave Macmillan UK eBooks
Authors: Lars Calmfors, Henrik Horn
Institution: Peterson Institute for International Economics
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W1485129529