Downward Nominal Wage Rigidity and Inflation Dynamics During and After the Great Recession

2018 ◽  
Author(s):  
Tomohide Mineyama
Keyword(s):  
Great Recession ◽  
Wage Rigidity ◽  
Nominal Wage ◽  
Inflation Dynamics ◽  
The Great Recession ◽  
Nominal Wage Rigidity

scholarly journals Downward Nominal Wage Rigidity in the United States During and After the Great Recession

2020 ◽  
Vol 2020 (001r1) ◽  
Author(s):  
◽  
Bruce Fallick ◽  
Daniel Villar ◽  
William L. Wascher ◽  
◽  
...  
Keyword(s):  
United States ◽  
Great Recession ◽  
The United States ◽  
Wage Rigidity ◽  
Nominal Wage ◽  
The Great Recession ◽  
Nominal Wage Rigidity

The Firm, Wage Indexation, and Nominal Wage Rigidity

2016 ◽  
Author(s):  
James M. Holmes ◽  
John M. Holmes ◽  
Patricia A. Hutton
Keyword(s):  
Wage Rigidity ◽  
Nominal Wage ◽  
Wage Indexation ◽  
Nominal Wage Rigidity

Downward Nominal Rigidity in West German Earnings, 1975-95

2001 ◽  
Vol 2 (4) ◽  
pp. 385-417 ◽  
Author(s):  
Thomas Beissinger ◽  
Christoph Knoppik
Keyword(s):  
Business Cycle ◽  
Analytical Framework ◽  
Wage Rigidity ◽  
Nominal Wage ◽  
Symmetry Approach ◽  
Nominal Rigidity ◽  
Inflation Targets ◽  
Nominal Wage Rigidity ◽  
Time Invariant

Abstract If downward nominal wage rigidity exists, it should affect the distribution of earnings changes. We present a common analytical framework for three distinct and previously unconnected approaches to the analysis of downward nominal rigidity, the skewness±location approach, the symmetry approach and the histogram±location approach. We modify them by dropping the assumption of time-invariant rigidity and apply them to earnings data from the IABB-escha Èftigtenstichprobe (IABS). We find that the distribution of West German log earnings changes is indeed affected by downward nominal rigidity. Our modification of the approaches also allows us to find that the degree of nominal rigidity depends on business cycle conditions, with weaker rigidity in times of rising unemployment. Our findings support the critics of very low inflation targets.

Sign in / Sign up

Export Citation Format

Share Document