Unemployment rate not accelerating the rise in wages

The wage increase is not accelerating unemployment , ( English non-accelerating wage rate of unemployment , in short NAWRU ) describes the economics , the level of unemployment at which no burst of inflation through wage increases is triggered.

The NAWRU is calculated as follows:

${\displaystyle D^{2}\cdot {\text{log}}(W)=-a\cdot \left(U-{\text{NAWRU}}\right),\quad a>0}$

where denotes the wage rate, the actual unemployment rate and the difference operator, d. H. is the change in the rate of wage growth. ${\displaystyle W}$ ${\displaystyle U}$ ${\displaystyle D}$ ${\displaystyle D^{2}\cdot {\text{log}}(W)}$

See also

• Unemployment rate does not accelerate inflation

Individual evidence

1. ↑ OECD: OECD Economic Outlook, Edition 1999/1. , P. 161