Skilled–unskilled wage inequality and unemployment: A general equilibrium analysis

作者: Manash Ranjan Gupta , Priya Brata Dutta

DOI: 10.1016/J.ECONMOD.2011.03.030

关键词: Small open economyEconomicsWageUnemploymentEfficiency wageEconomic inequalityLabour economicsGeneral equilibrium theoryIncome distributionInvoluntary unemployment

摘要: Abstract The paper develops a static three sector competitive general equilibrium model of small open economy in which skilled labor is mobile between traded good and the non-traded unskilled specific to another sector. Capital perfectly among all these sectors. We introduce involuntary unemployment both markets explain using efficiency wage hypothesis. examine effects change different factor endowments prices goods on rates skilled–unskilled relative wage. Also, we Gini-Coefficient income distribution as measure inequality; show that comparative effect may force move opposite directions presence unemployment.

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