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dc.contributor.authorJusélius, Katarinaen_US
dc.contributor.authorOrdóñez, Javieren_US
dc.coverage.temporal1983-2007en_US
dc.date.accessioned2009-01-28T15:05:26Z-
dc.date.available2009-01-28T15:05:26Z-
dc.date.issued2008en_US
dc.identifier.urihttp://hdl.handle.net/10419/17992-
dc.description.abstractThis paper provides an empirical investigation of the wage, price and unemployment dynamics that have taken place in Spain during the last two decades. The aim of this paper is to shed light on the impact of the European economic integration process on Spanish labour market and the convergence to a European level of prosperity. We find some important lessons to be learnt from the Spanish experience that should be relevant for the new member states. Second, before fixing the real exchange rate it seems crucial that it is on its sustainable (competitive) purchasing power parity level. First, high competitiveness in the tradable sector seems crucial for the real and nominal convergence to be successful. The increase in consumption wages and consumer prices as a result of the Balassa-Samuelson effect should not be allowed to exceed the improvement in productivity. Second, before fixing the real exchange rate it seems crucial that it is on its sustainable (competitive) purchasing power parity level. Third, there does not seem to be a short-cut to a European level of standard of living: the path to sustainable prosperity seems to follow the path of productivity improvement. Forth, excessive real wage increases seem to lead to increasing unemployment, slowdown in productivity growth, higher interest rates, and loss of competitiveness. On the other hand, the access to the European market and the possibility of increased export demand is likely to speed up the convergence process as long as competitiveness is not eroded by excess wage increases.en_US
dc.language.isoengen_US
dc.publisherKiel Institute for the World Economy (IfW) Kiel-
dc.relation.ispartofseriesEconomics Discussion Papers / Institut für Weltwirtschaft 2008-20en_US
dc.subject.jelE24en_US
dc.subject.jelC32en_US
dc.subject.ddc330en_US
dc.subject.keywordBalassa-Samuelson effecten_US
dc.subject.keywordnominal and real convergenceen_US
dc.subject.keywordunemployment dynamicsen_US
dc.subject.keywordpurchasing power parityen_US
dc.subject.keywordcointegrated VARen_US
dc.subject.stwEuropäische Wirtschafts- und Währungsunionen_US
dc.subject.stwEU-Erweiterungen_US
dc.subject.stwWirtschaftliche Anpassungen_US
dc.subject.stwEntwicklungskonvergenzen_US
dc.subject.stwArbeitslosigkeiten_US
dc.subject.stwBeschäftigungseffekten_US
dc.subject.stwBalassa-Samuelson Effekten_US
dc.subject.stwKaufkraftparitäten_US
dc.subject.stwLohnniveauen_US
dc.subject.stwInflationen_US
dc.subject.stwSpanienen_US
dc.titleWage, Price and Unemployment Dynamics in the Spanish Transition to EMU Membershipen_US
dc.typeWorking Paperen_US
dc.identifier.ppn565669419en_US
dc.rights.licensehttp://creativecommons.org/licenses/by-nc/2.0/de/deed.en-
dc.identifier.repecRePEc:zbw:ifwedp:7265-
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