Wage Regimes, Accumulation and Finance Constraints: Keynesian Unemployment Revisited

Francesco Saraceno

Working Papers from HAL

Abstract: This paper presents a sequential model suited to analyze transitions between equilibria. Disequilibrium dynamics are obtained from a standard monopolistic competition model, by introducing a sequential structure and reasonable hypotheses about technology, finance constraints, expectation formation, and the wage setting mechanism. The response to shocks crucially depends on the institutional features of the economy, and on the monetary policy stance. In particular, some degree of wage stickiness proves necessary to avoid explosive paths. This feature of the model makes it a good candidate for the reappraisal of Keynes' arguments on wages and unemployment.

Keywords: Disequilibrium; Keynesian economics; Fix Price Models (search for similar items in EconPapers)
Date: 2004-01
Note: View the original document on HAL open archive server: https://sciencespo.hal.science/hal-01065470
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
https://sciencespo.hal.science/hal-01065470/document (application/pdf)

Related works:
Working Paper: Wage Regimes, Accumulation and Finance Constraints: Keynesian Unemployment Revisited (2004)
Working Paper: Wage Regimes, Accumulation and Finance Constraints: Keynesian Unemployment Revisited (2003)
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:hal:wpaper:hal-01065470

Access Statistics for this paper

More papers in Working Papers from HAL
Bibliographic data for series maintained by CCSD ().