industrialized countries. Standard business cycle models that assume flexible prices and wages, in the Real Business Cycle tradition … of a two-country world with sticky nominal prices and wages and a flexible exchange rate. The structure here predicts …

-unemployment/low-wage environment. Based on a comparison of actual and counterfactual wage distributions, the effects of nominal wage rigidities on real … wages, and thus, on the labor market and the real economy, were limited until 1998, but have been quite significant …

nominal wage rigidities. Several interesting implications arise. First, a closed-form solution for a long-run Phillips curve … policies can play an important role in shaping the trade-off. Third, nominal wages tend to be endogenously rigid also upward …

We propose a theory of low-frequency movements in unemployment based on asymmetric real wage rigidities. The theory …

The paper develops a simple three-sector model of a developing country with nominal wage rigidity, in which one sector …

after various adjustments for potential reporting errors. While nominal wages of job stayers are rigid downward, real wages … are not. Nevertheless, the macroeconomic effects of the nominal rigidity are limited and cannot be weakened substantially …

nominal wage and price adjustments in the face of aggregate demand shocks. The evidence illustrates patterns of the wage …-price spiral and accompanying fluctuations. During economic expansions, the overlap of nominal adjustments in labor and product … institutional settings appear to have moderated the severity of the effects of contractionary demand shocks on real output growth …