Do Higher Wages Cause Inflation?

Jönsson, Magnus; Palmqvist, Stefan

doi:10.2139/ssrn.906568

Cited by 2 publications

(2 citation statements)

References 26 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Hall (1988) estimates a price markup around 100 percent for six of seven one-digit sectors. Morrison's (1990) estimates lie in the range between 20 to 40 percent, Domowitz, Hubbard, and Petersen's (1988) estimates vary between 40 to 70 percent, Jonsson and Palmqvist's (2004) estimate is 25 percent and, finally, Rotemberg and Woodford's (1995) estimate is 17 percent.…”

Section: Sensitivity Analysismentioning

confidence: 93%

The welfare cost of imperfect competition and distortionary taxation

Jönsson

2007

Review of Economic Dynamics

Self Cite

View full text Add to dashboard Cite

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. The Working Paper series presents reports on matters in the sphere of activities of the Riksbank that are considered to be of interest to a wider public. The papers are to be regarded as reports on ongoing studies and the authors will be pleased to receive comments. Terms of use: Documents inThe views expressed in Working Papers are solely the responsibility of the authors and should not to be interpreted as reflecting the views of the Executive Board of Sveriges Riksbank. AbstractThe welfare cost of imperfect competition in the product and labor market as well as distortionary taxation is quantified in a dynamic general equilibrium model parameterized to fit the U.S. economy. We find that the welfare cost of imperfect competition in the product market is 35.74 percent while it is 0.66 percent in the labor market, taking the transition from the distorted to the optimal steady state into account. If we also take into account that the U.S. economy is characterized by distortionary taxation the welfare cost in the product market increases to 48.26 percent and 4.70 percent in the labor market.

show abstract

Section: Sensitivity Analysismentioning

confidence: 93%

The welfare cost of imperfect competition and distortionary taxation

Jönsson

2007

Review of Economic Dynamics

Self Cite

View full text Add to dashboard Cite

show abstract

“…Hasil ini sejalan dengan penelitian yang pernah dilakukan oleh Hess (2000) dan Jonsson (2004), serta berkebalikan dengan penelitian yang dilakukan oleh Sialagan (2015). Penjelasan dari hasil ini adalah komponen hidup layak (KHL) sebagai pertimbangan utama dalam menetapkan upah minimum setiap tahunnya mengalami peningkatan.…”

Section: Gambar 6 Impulse Responseunclassified

Kausalitas Upah Minimum Regional Dengan Laju Inflasi Di Provinsi D.I. Yogyakarta

Azis¹,

Wibowo²

2016

OPTIMUM

View full text Add to dashboard Cite

This study aims to analyze the causal relationship between the regional minimum wage (UMR) with the rate of infl ation, as well as long-term relationship of two variables. Several previous studies have said that there is a unidirectional relationship, both infl ation affect UMR, or UMR affecting infl ation. There was even a study that found that there is a two-way (reciprocal) between the two. In this study, an analysis tool used is the Vector Autoregression (VAR). From the results, it can be concluded that the relationship between the minimum wage to infl ation in the province of DIY is a unidirectional relationship, where infl ation affects the amount of the minimum wage set. These results indicate that the regional minimum wage stipulated in Yogyakarta province has been in accordance with the principles of remuneration within the perspective of Islamic Economics as one of the considerations in setting is infl ation. Thus, the element of appropriateness as one element in remuneration are met. Through the study also concluded that the regional minimum wage (UMR) with contained infl ation long-term relationship.

show abstract

Do Higher Wages Cause Inflation?

Cited by 2 publications

References 26 publications

The welfare cost of imperfect competition and distortionary taxation

The welfare cost of imperfect competition and distortionary taxation

Kausalitas Upah Minimum Regional Dengan Laju Inflasi Di Provinsi D.I. Yogyakarta

Contact Info

Product

Resources

About