Jobless recoveries during financial crises: is inflation the way out?

Loading...
Thumbnail Image

Date

2014

Journal Title

Journal ISSN

Volume Title

Publisher

Banco Central de Chile

Abstract

Description

The slow rate of employment growth relative to that of output is a sticking point in the recovery from the financial crisis episode that started in 2008 in the U.S. and Europe (a phenomenon labeled 'jobless recovery'). The issue is a particularly burning one in Europe where some observers claim that problem economies (like Greece Italy Ireland Spain and Portugal) would be better off abandoning the euro and gaining competitiveness through steep devaluation. This would be a momentous decision for Europe and the rest of the world because among other things it may set off an era of competitive devaluation and tariff war. Thus these topics require prompt attention.

Keywords

CRISIS FINANCIERA, INFLACIÓN, CRISIS ECONÓMICA 2008, MERCADO LABORAL

Citation