Macro- and Microeconomic Consequences of Wage Rigidity
This article reviews a well-established macroeconomic literature -- wage rigidity -- from the perspective of human resource managers and economic researchers. As we demonstrate, human resource policies can subtly alter the rigidity of wages. Fortunately, the potential existence and impact of wage rigidities has long been an active area of economic research whose results can be used to guide human resource managers’ policy reviews.
Groshen, Erica, and Mark E. Schweitzer. 1996. “Macro- and Microeconomic Consequences of Wage Rigidity” Federal Reserve Bank of Cleveland, Working Paper No. 96-07. https://doi.org/10.26509/frbc-wp-199607