A benchmark for wage growth through the lens of the Beveridge curve |
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| Authors: | Florian Kajuth |
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| Institution: | Deutsche Bundesbank, Directorate-General Economics, Frankfurt am Main, Germany |
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| Abstract: | Using an estimated Beveridge curve, we trace out the vacancy–unemployment ratio in the steady state. This steady-state measure for labour market tightness is embedded in a VAR framework to obtain a benchmark for wage growth reflecting a labour market equilibrium. |
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| Keywords: | Beveridge curve vacancy–unemployment ratio wage dynamics equilibrium wage growth |
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