Wage Determination, Capital Shortage and Unemployment: A Comparison between Germany and the UK

Philip Arestis and Iris Biefang-Frisancho Mariscal

Chapter 17 in Growth, Employment and Inflation, 1999, pp 241-253 from Palgrave Macmillan

Abstract: Abstract This chapter relates to John Cornwall’s work in two major ways. First, we develop a conflict model of inflation which is similar in spirit to Cornwall’s (1990) claim that there exists an inflationary bias in capitalism unless decentralized wage- and price-setting behaviour is coordinated by means of an incomes policy. Second, Cornwall has long proclaimed the importance of investment spending for maintaining full employment (see, for example, Cornwall, 1979), a thesis that is very much in tune with one of our main propositions regarding the importance of capital shortages in creating unemployment.

Keywords: Capital Stock; Real Wage; Real Interest Rate; Capacity Utilization; Unit Labour Cost (search for similar items in EconPapers)
Date: 1999
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-27393-5_17

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349273935

DOI: 10.1007/978-1-349-27393-5_17

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().