La política monetaria y la Corte Constitucional: el caso del salario mínimo

Revista de Economía Institucional, 2006, vol. 8, issue 14, pages 105-124

Abstract: In 1999 the Colombian Constitutional Court ruled that annual minimum wage increases should not be lower than the inflation of the previous year. This article explores the impact of this decision on the effectiveness of monetary policy, and shows that the obligation to adjust the salary to past inflation leads monetary policy to have more effect on real activity and generates more persistent inflation.

Keywords: monetary policy; Constitutional Court; minimum salary; inflation (search for similar items in EconPapers)
JEL-codes: E31 E32 E51 E58 K31 (search for similar items in EconPapers)
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