Abstract

http://ssrn.com/abstract=904478
 


 



The Employment Elasticity in Manufacturing: A Comment on Mazumdar


E.C. Sipin


Independent

Jesus Felipe


Asian Development Bank


Cambridge Journal of Economics, Vol. 29, Issue 4, pp. 659-664, 2005

Abstract:     
We show that Mazumdar`s recently proposed methods for estimating the elasticity of the wage bill with respect to output growth, and for decomposing the growth rate of the wage rate into an output effect, an employment effect, and a price effect, are problematic. The decomposition proposed is a tautology because it can be equally derived from an accounting identity. Likewise, we show that the alleged elasticity of the wage bill with respect to output growth has to take on a value of unity by definition.

Keywords: Accounting identity, Labour share

Accepted Paper Series


Not Available For Download

Date posted: February 29, 2008  

Suggested Citation

Sipin, E.C. and Felipe, Jesus, The Employment Elasticity in Manufacturing: A Comment on Mazumdar. Cambridge Journal of Economics, Vol. 29, Issue 4, pp. 659-664, 2005. Available at SSRN: http://ssrn.com/abstract=904478

Contact Information

E.C. Sipin
Independent
No Address Available
Jesus Felipe
Asian Development Bank ( email )
6 ADB Avenue, Mandaluyong City 1550
Metro Manila
Philippines

Feedback to SSRN


Paper statistics
Abstract Views: 222

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo3 in 0.391 seconds