Customer Markets, Trade Unions and Stagflation

Datos Bibliográficos

ID9724461
AutoresIan M McDonald (0000-0002-6222-0207, autor de correspondencia)
Año1987
Volumen54
Número214
Páginas139
Fecha de publicación1987-05-01
Peer ReviewedSí
Open AccessNo
TipoARTICLE
RevistaEconomica (JOURNAL)
Identificadores de la revistaISSN: 0013-0427 • E-ISSN: 1468-0335
EditorialJSTOR (PUBLISHER)
DOI10.2307/2554387
OpenAlexW2016351119
IdiomaEN
Citas recibidas3
Referencias citadas8

Customer market analysis combined with trade-union wage setting is shown to yield a range of equilibrium levels of employment. Only when employment is forced outside this range can the disequilibrium acceleration or d eceleration of the price level be expected to operate. Numerical calc ulations suggest that this range is quite large, implying that the ma ximum level of unemployment consistent with nondecelerating inflation is way above the minimum level of unemployment consistent with nonac celerating inflation. A range of equilibrium employment levels appear s to be in closer agreement with empirical experience than a unique, "natural" rate of unemployment. Copyright 1987 by The Review of Economic Studies Limited

Business · Economics · International economics · International trade · Keynesian economics · Stagflation · Economic theories and models · Firm Innovation and Growth · Labor market dynamics and wage inequality