Research Discussion Paper – RDP 2018-10 Wage Growth Puzzles and Technology
September 2018
Contents
- Introduction: Short-run and Long-run Wage Puzzles
- Technology, Bargaining Power and Nominal Wages Growth
- Technology and Labour's Declining Share
- Technology Diffusion and Low Nominal Wages Growth: Some Research Proposals
- Concluding Comments
- Appendix A: RBA Research on Structural Factors That May Be Holding Down Nominal Wages Growth
- Bibliography
This paper was written while I was a visiting scholar at the Reserve Bank of Australia from November 2017 to May 2018. My sincere thanks to the RBA for making this possible. I would also like to thank the many people who gave me feedback and encouragement along the way, in particular John Simon, Alex Heath, Gianni La Cava, Peter Tulip, Tony Richards, Tom Rosewall and Jonathan Hambur at the RBA; Dan Andrews at Treasury; and Dean Parham, Gareth Leeves, Don Russell and Justin Punch. Special thanks to Derek Burnell at the Australian Bureau of Statistics for assistance with data; and Rob Henderson and Kathy Walsh for assistance with charts. The views expressed in the paper, along with any errors, are mine alone.