Spilimbergo, Antonio; Mishra, Prachi - International Monetary Fund (IMF) - 2009
domestic wages to real exchange rate is 0.1 after a year for countries with high barriers to external labor mobility, but about … 0.4 in countries with low barriers to mobility. The results are robust to the inclusion of various controls, different … measures of exchange rates, and concepts of labor market integration. These findings call for including labor mobility in macro …