A Conflict Model of Stagflation

Dang Tran

Eastern Economic Journal, 1987, vol. 13, issue 1, 7-18

Abstract: This paper introduces a Lotka-Volterra-Goodwin model to study inflation and unemployment in the context of the distributional conflict between labor and capital. It was shown that the 1960-81 period was marked by a positively-sloped, long-run Phillips curve which first rose only slightly but became steeper later on. The stagflation phenomenon was attributed to the dominance of the wage-push over the profit-push. It was found that during 1970s workers' expectations and demands for higher wages and living standards greatly exceeded the paying capacity of the economy which was already severely limited by the supply shocks.

Date: 1987
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://web.holycross.edu/RePEc/eej/Archive/Volume13/V13N1P7_18.pdf (application/pdf)

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:eej:eeconj:v:13:y:1987:i:1:p:7-18

Access Statistics for this article

Eastern Economic Journal is currently edited by Cynthia A. Bansak, St. Lawrence University and Allan A. Zebedee, Clarkson University

More articles in Eastern Economic Journal from Eastern Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Victor Matheson, College of the Holy Cross ().