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Australian Unemployment in the Long Run, 1903-2007

Bhattacharyya, Sambit and Hatton, Timothy J (2011) 'Australian Unemployment in the Long Run, 1903-2007.' Economic Record, 87 (277). pp. 202-220. ISSN 0013-0249

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We develop a two equation model of wage setting and unemployment, which we estimate on annual time series for Australia since Federation. Our model links the real wage level to productivity and to a set of wage pressure variables, while the unemployment rate is linked to the gap between the real wage and productivity and to demand side variables. We evaluate the contribution of different variables to the equilibrium unemployment rate for 1903–1941, 1942–1973 and 1974–2007. We also examine the effects on unemployment of several key policy‐related episodes in wage regulation spread over the past century of labour market history.

Item Type: Article
Uncontrolled Keywords: E24; J52; N17
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculty of Social Sciences
Faculty of Social Sciences > Economics, Department of
SWORD Depositor: Elements
Depositing User: Elements
Date Deposited: 06 Aug 2012 13:09
Last Modified: 15 Jan 2022 00:28

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