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New incomes policy in Spain
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New incomes policy in Spain

20 Seiten · 3,88 EUR
(16. Oktober 2006)

 
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From the introduction of the editors:

Incomes policy in Spain is addressed in the paper by Jesus Ferreiro and Carmen Gomez. According to their view, incomes policy had been the key instrument of the economic policy implemented in Spain since the introduction of democracy until the mid-eighties. The union’s acceptance of voluntary wage policy was possible thanks to the economic and political compensations given in exchange for wage moderation. This incomes policy allowed to reduce the inflation rates. However, inflation rates were always above the inflation targets. But wage moderation did not lead to the expected outcome in terms of employment creation. Actually, unemployment rose dramatically during the working of incomes policy. Therefore, the acceptance of incomes policy meant a net cost for unions, which helps to understand the unions’ rejection of the two new proposals of incomes policy made by the Socialist government in 1991 and 1992. However, since 1997 a different kind of incomes policy has actually been at work in Spain. The main trade unions are obtaining agreements with the employers associations that involve centralised guidelines for wage growth, accepting wage moderation, that is, real wage growth below productivity growth. This new experience of social cooperation, this ‘incomes policy without incomes policy’, has no direct implication for the government. The objectives are not macroeconomic but microeconomic: First, a change in the patterns of competitiveness and of productive specialisation of Spanish firms. And second, a reduction in the rates of temporary workers in the Spanish labour market.


zitierfähiger Aufsatz aus ...
European Economic Policies
Eckhard Hein, Arne Heise, Achim Truger (eds.):
European Economic Policies
the authors
Carmen Gomez

Lecturer at the University of the Basque Country, Bilbao, Spain.

[weitere Titel]
Jesus Ferreiro
Jesus Ferreiro

Associate Professor for Applied Economics at the University of the Basque Country, Bilbao, Spain.

[weitere Titel]