Should we wait to 'grow out of' unemployment? The implications of a neoclassical calibration analysis

Authors
Coleman, W
Citation
W. Coleman, Should we wait to 'grow out of' unemployment? The implications of a neoclassical calibration analysis, ECON REC, 74(225), 1998, pp. 162-169
Citations number
11
Categorie Soggetti
Economics
Journal title
ECONOMIC RECORD
ISSN journal
00130249 → ACNP
Volume
74
Issue
225
Year of publication
1998
Pages
162 - 169
Database
ISI
SICI code
0013-0249(199806)74:225<162:SWWT'O>2.0.ZU;2-N
Abstract
The paper uses a Solow-Ramsey growth model to evaluate the effectiveness of growth as a remedy for unemployment in the face of a wage minimum. Plausib le calibration of the model suggests that the elimination of 5 per cent une mployment by the process of capital accumulation may take about 20 years.