期刊名称：Departmental Discussion Papers / University of Glasgow, Department of Economics
出版年度：2000
卷号：1
出版社：University of Glasgow, Department of Economics
摘要：In this paper we construct a stylised general equilibrium macromodel to show
that demand led expansions may have unexpected effects when market imperfections lead to
changes in labour productivity. We find some empirical support, from a number of European
countries, for the main predictions of this model that unemployment and output are positively
related when unemployment is low and inversely related when unemployment is high. An
important policy insight that emerges from this study is that an exogenous stimulation of
aggregate demand can only raise output and reduce unemployment provided the economy is
operating relatively efficiently. However, when an economy is trapped in an inefficient
equilibrium, positive demand shocks can lead, perversely, to an increase in unemployment.
