Exchange Rates and Wages in an Integrated World

Exchange Rates and Wages in an Integrated World
We analyze how the pass-through from exchange rate to domestic wages depends on the degree of integration between domestic and foreign labor markets. Using data from 66 countries over the period 1981-2005, we find that the elasticity of domestic wages to real exchange rate is 0.1 after a year for countries with high barriers to external labor... READ MORE...

Publication date: March 2009
ISBN 9781451871920
$18.00

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