We study the wage-change distributions in union contractsreached in Canada between 1976-1999. We use non-parametric tests to check for nominal wage rigidity and find that it is present during low inflation periods.

We study the wage-change distribution in union contracts reached in Canada between 1976-1999. We use non-parametric tests to check for nominal wage rigidity and find that it is present during low inflation periods.

This paper studies the determinants of real wage rates using data on Canadian labour contracts signed between 1978 and 1984. Its results are consistent with Dunlop's neglected (1944) hypothesis that real pay movements are shaped by product price changes (contrary to the predictions of implicit...