NORWEGIAN WAGE CURVES

Abstract

ABSTRACT The paper presents empirical evidence on wage formation in Norway using annual time series data for manufacturing industry. First, we show that long‐run effects on consumer prices and taxes depend strongly on the exact definition of the empirical variables. Using the implicit factor income deflator, the wedge between consumer's and producer's real wages is insignificant. Second, our results indicate that there is a long‐run tradeoff between the wage level and the unemployment ratio and the Phillips curve specification is firmly rejected. Third, the paper presents empirical evidence in favour of a strongly non‐linear wage curve. Fourth, our results support the long‐term unemployment hypothesis, as increased proportion of long‐term unemployment shifts the wage curve outwards and to the right.

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 53 citations exist upstream.

Papers that cite the same references — the relational fallback while embeddings are still backfilling.