Riggi, Marianna; Tancioni, Massimiliano - Dipartimento di Economia e Diritto, Facoltà di Economia - 2008
baseline framework. In this paper we show that this extended model, by assuming real wage rigidities, fails to replicate the … of the model with real wage rigidities and confront them with those of the model with nominal wage rigidities, concluding …€œproductivity employment puzzleâ€. We then show that these empirical limitations can be overcome by a model incorporating nominal wage …