Journal ArticleDOI
A Tax‐Wage Bargain in Australia:Is a Free Lunch Possible?*
Warner Max Corden,Peter B. Dixon +1 more
TLDR
This article examined the feasibility of a tax-wage bargain in Australia designed to increase employment without generating excess product demand while government expenditure is held constant, and the question is whether product demand would expand more or less than potential supply.Abstract:
This paper examines the feasibility of a tax-wage bargain in Australia designed to increase employment without generating excess product demand while government expenditure. investment and the balance of trade are held constant. It is assumed that tax cuts would lower pre-tax real wages while keeping post-tax real wages constant, and that the lower wage costs would increase potential output and employment along neoclassical lines. The question is whether product demand would expand more or less than potential supply. Estimates from the ORANI model of the IMPACT project are used to obtain a relationship between real wage costs and potential output.read more
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Computable general equilibrium modelling for policy analysis and forecasting
Book ChapterDOI
Chapter 1 Computable general equilibrium modelling for policy analysis and forecasting
TL;DR: In this paper, the authors describe computable general equilibrium (CGE) modeling and the history of its development and discuss its achievements, failures, and potential, and illustrate the computation of solutions for CGE models and reviews its achievements and failures.
Journal ArticleDOI
Models of Trade Union Behaviour: A Synthesis
John Creedy,Ian M. McDonald +1 more
TL;DR: In this article, the following four models of wage determination by trade unions, namely simple monopoly, wage-bargaining, efficient bargains and insider-dominated, are placed within a single framework.
Journal ArticleDOI
You can't have a CGE recession without excess capacity
Peter B. Dixon,Maureen T. Rimmer +1 more
TL;DR: In this paper, the authors show that a large reduction in investment is occurring simultaneously with a contraction in exports and little movement in the real exchange rate, and they show that to describe this situation it is necessary to drop the standard CGE assumption that capital is always fully employed in every industry.
Book ChapterDOI
The Monash style of computable general equilibrium modeling: A framework for practical policy analysis
TL;DR: The MONASH model as discussed by the authors is derived from Johansen's 1960 model of Norway and has been widely used in many countries to provide insights on a variety of questions including: the effects on: macro, industry, regional, labor market, distributional and environmental variables of changes in: taxes, public consumption, environmental policies, technologies, commodity prices, interest rates, wage-setting arrangements, infrastructure and major-project expenditures, and known levels and exploitability of mineral deposits (the Dutch disease).
References
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Journal ArticleDOI
Upward Mobility in a High-Pressure Economy
Journal ArticleDOI
Price and Output Effects of Monetary and Fiscal Policy under Flexible Exchange Rates (Effets des politiques monétaire et budgétaire sur les prix et la production en régime de taux de change flexibles) (Efectos de la polÃticas monetaria y fiscal en los precios y la producción, en un régimen de tipos de cambio flexibles)
Victor Argy,Joanne Salop +1 more
TL;DR: In this paper, the authors developed a macroeconomic equilibrium model based on three markets (goods, money, and labor) and analyzed monetary and fiscal policies in terms of their effects on these three markets.
Journal ArticleDOI
Models of Inflation in the United Kingdom: an Evaluation
TL;DR: In this paper, re-estimates are made of some of the main econometric models of inflation that have been proposed for the UK, though reference is also made in the article to price equations.
Journal ArticleDOI
Incomes Policy and Wage Inflation: Empirical Evidence for the Uk 1961-1977
S.G.B. Henry,P.A. Ormerod +1 more
TL;DR: In this paper, the authors assess the effects of incomes policy using econometric equations of wage inflation and find that incomes policy has little effect on the rate of change of wages.