Journal article

Publication year: 1994

Pages: 345-377

Journal: Zeitschrift für Wirtschafts- und Sozialwissenschaften

Volume number: 114

Issue number: 3

DOI Link: https://doi.org/10.3790/schm.114.3.345

Publisher: Duncker & Humblot

Abstract: 

This paper applies a system-theoretic model of hysteresis to the labour market. Our model shares a closer affinity to the original concept of magnetic hysteresis than conventional techniques to describe persistence effects via linear difference equations. The path dependence in the relation between real wages and employment is emphasised. Relatedly, we pay special attention to the question of aggregation: at the micro level, certain threshold values of the input variable have to be exceeded to produce shifts in the relation between wages and (un)employment; at the macro level, however, only small changes in the wage can yield long-lasting effects.

Harvard Citation style: Belke, A. and Göcke, M. (1994) Starke Hysteresis auf dem Arbeitsmarkt, Zeitschrift für Wirtschafts- und Sozialwissenschaften, 114(3), pp. 345-377. https://doi.org/10.3790/schm.114.3.345

APA Citation style: Belke, A., & Göcke, M. (1994). Starke Hysteresis auf dem Arbeitsmarkt. Zeitschrift für Wirtschafts- und Sozialwissenschaften. 114(3), 345-377. https://doi.org/10.3790/schm.114.3.345