The Library
Unemployment equilibria and input prices : theory and evidence from the United States
Tools
Carruth, Alan A. , Hooker, N. and Oswald, Andrew J. (1998) Unemployment equilibria and input prices : theory and evidence from the United States. Review of Economics and Statistics, Vol.80 (No.4). pp. 621-628. doi:10.1162/003465398557708 ISSN 0034-6535.
|
PDF
WRAP_Oswald_cho.pdf - Requires a PDF viewer. Download (148Kb) |
Official URL: http://dx.doi.org/10.1162/003465398557708
Abstract
The paper develops an efficiency-wage model where input prices affect the equlibrium rate of unemployment. We show that a simple framework based on only two prices (the real price of oil and the real rate of interest) is able to explain the main post-war movements in the rate of U.S. joblessnss. The equations do well in forecasting unemployment many out-of-sample, and provide evidence that the oil price spike associated with Iraq's invasion of Kuweit appears to be a component of the "mystery" recession which followed.
Item Type: | Journal Article | ||||
---|---|---|---|---|---|
Subjects: | H Social Sciences > HC Economic History and Conditions | ||||
Divisions: | Faculty of Social Sciences > Economics | ||||
Library of Congress Subject Headings (LCSH): | Unemployment -- United States, Petroleum products -- Prices, Petroleum industry and trade | ||||
Journal or Publication Title: | Review of Economics and Statistics | ||||
Publisher: | MIT Press | ||||
ISSN: | 0034-6535 | ||||
Official Date: | November 1998 | ||||
Dates: |
|
||||
Volume: | Vol.80 | ||||
Number: | No.4 | ||||
Page Range: | pp. 621-628 | ||||
DOI: | 10.1162/003465398557708 | ||||
Status: | Peer Reviewed | ||||
Access rights to Published version: | Open Access (Creative Commons) | ||||
Funder: | Economic and Social Research Council (Great Britain) (ESRC), Leverhulme Trust (LT) |
Request changes or add full text files to a record
Repository staff actions (login required)
View Item |