estimates. The research period has been characterised by high labour demand, negative supply shocks, high levels of inflation …

estimates. The research period has been characterised by high labour demand, negative supply shocks, high levels of inflation …

-the-job search makes such wage competition less likely, reducing expected labor costs and lowering inflation. This model explains why … inflation has remained subdued over the last decade, which is a conundrum for general equilibrium models and Phillips curves …

-specific labour imply a sufficient degree of real rigidity, and so can reproduce inflation dynamics well. However, they imply too … little real rigidity and, so, too volatile inflation, owing to strong responses of marginal wages and hours per employee … the responses of wages, inflation and employment …

Motivated by migration phenomena and wage-inflation spillovers, we investigate the relationship between the two and the … inflationary remittances built-in pressures. We establish a feedback loop between migration and inflation, and specify a simple … monopolistic competition, and state space model for the natural unemployment rate. Our estimates suggest that overshooting …

economy permanently operates below capacity due to both structural unemployment and underemployment. The latter is a direct … demand and supply shocks are opposite to those of the standard case and result in a co-movement of unemployment and … explain movements of unemployment and underemployment in opposite directions. Finally, we show that uctuations in the total …

This paper reviews recent approaches to modeling the labour market and assesses their implications for inflation … volatile inflation. Models with wage stickiness and right-to-manage bargaining or with firm-specific labour emerge as the most …

This paper reviews recent approaches to modeling the labour market, and assesses their implications for inflation … volatile inflation. Models with wage stickiness and right-to-manage bargaining or with firm-specific labour emerge as the most …

result is that the model is able to generatepersistent responses in output, inflation, and total labor input to both …