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Conditional on a contractionary monetary policy shock, the labor share of value added is expected to decrease in the basic New Keynesian model. By providing firm-level evidence, we are first to validate this proposition. Using local projections and high dimensional fixed effects, we show that a...
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with respect to productivity, we demonstrate that productivity growth affects the labour share in the long run due to … frictional growth (that is, the interplay of wage dynamics and productivity growth). In the light of this result, we consider a … (or, equivalently, the wage-productivity gap) deserves the attention of policy makers. -- Wages ; Productivity ; Labour …
Persistent link: https://www.econbiz.de/10003990440
with respect to productivity, we demonstrate that productivity growth affects the labour share in the long run due to … frictional growth (that is, the interplay of wage dynamics and productivity growth). In the light of this result, we consider a … (or, equivalently, the wage-productivity gap) deserves the attention of policy makers. -- wages ; productivity ; labour …
Persistent link: https://www.econbiz.de/10008779969
most prominent explanatory variables in the literature: the capital-output ratio, total factor productivity and trade …
Persistent link: https://www.econbiz.de/10003961521
with respect to productivity, we demonstrate that productivity growth affects the labour share in the long run due to … frictional growth (that is, the interplay of wage dynamics and productivity growth). In the light of this result, we consider a … (or, equivalently, the wage-productivity gap) deserves the attention of policy makers …
Persistent link: https://www.econbiz.de/10013139711
the widening productivity gap between “the best and the rest” have negative implications for the labour share. We also … the current backlash against globalisation and reinforces the need to ensure benefits of globalisation and productivity …
Persistent link: https://www.econbiz.de/10012630474
This paper considers a two sectors heterogeneous firms model where firms' specific production technology and capital intensity are endogenously determined through business dynamics. It shows that a shock to the relative price of investment goods is followed by the entrance of new firms...
Persistent link: https://www.econbiz.de/10012211092