Chapter8AggregateSupplyandUnemployment總供給和失業(yè)

Chapter8AggregateSupplyandUnemployment1

AggregateSupply

2

Unemployment1

AggregateSupply1.1DeterminantsofAS

※Aggregatesupplydescribestherelationshipbetweentheoutputthatbusinesseswillinglyproduceandtheoverallpricelevel,otherthingsbeingconstant.AS=F(Labor,Land,Capital,Technology,Institution)=F(PotentialOutput,Inputcost)※

PotentialOutput:sustainable,withoutinflation,notmaximumoutput※Inputcost:wage,foreignprice,oilprice,policy

HowDoGrowthinPotentialOutputandCostIncreasesAffectAggregateSupply?

InReality,AggregateSupplyShiftsCombineCostIncreasesandIncreasedPotentialOutput

ASIsRelativelyFlatintheShortRunbutTurnsVerticalintheLongRun1.2AggregateSupplyintheShortRun

WhytheAggregate-SupplyCurveSlopesUpwardintheShortRun

※

WhytheAggregate-SupplyCurveSlopesUpwardintheShortRun

◎TheMisperceptionsTheory◎TheSticky-WageTheory◎TheSticky-PriceTheory※ADpoliciesareeffective.1.3

AggregateSupplyinthelongRun

※TheLong-RunAggregate-SupplyCurveThelong-runaggregate-supplycurveisverticalatthenaturalrateofoutput.Thislevelofproductionisalsoreferredtoaspotentialoutputorfull-employmentoutput.

※Themisperceptions,thesticky-wageandthesticky-pricewillchangeinthelongrun.※ADpoliciesareineffective.2Unemployment2.1MeasuringofUnemployment

※UnemploymentismeasuredbytheBureauofLaborStatistics(BLS).Itsurveys60,000randomlyselectedhouseholdseverymonth.ThesurveyiscalledtheCurrentPopulationSurvey.

※Basedontheanswerstothesurveyquestions,theBLSplaceseachadultintooneoffourcategories:◎Employed◎Unemployedlay-out,waiting,looking◎Notinthelaborforce◎laborforce

Labor-ForceStatusofthePopulation,2003

※Theunemploymentrateiscalculatedasthepercentageofthelaborforcethatisunemployed.%2.2ImpactofUnemployment※EconomicImpact※※SocialImpact※Okun'sLaw

◎Forevery2percentthatactualGDPdeclinesrelativetopotentialGDP,theunemploymentraterises1percentagepoint.PercentChangeinRealGDP

＝3％－2×ChangeinUnemploymentRate

◎ThisruleisusefulintranslatingcyclicalmovementsofGDPintotheireffectsonunemployment.Okun’sLawIllustrated,1955-20022.3TheKindsofUnemployment

※NaturalUnemployment

◎Thenaturalunemployment

is

theamountofunemploymentthattheeconomynormally◎Itincludesthethreekindsofunemployment.○VoluntaryUnemployment○FrictionalUnemployment○StructuralUnemployment◎NaturalRateofUnemployment

◎Itistheamountofunemploymentthattheeconomynormallyexperiencesinthelongrun.

※CyclicalUnemployment◎Cyclicalunemployment

referstotheyear-to-yearfluctuationsinunemploymentarounditsnaturalrate.◎Itisassociatedwithshort-termupsanddownsofthebusinesscycle.

2.4TheCausesofUnemployment※InflexibleWage

◎

Inanideallabormarket(likeaauctionmarket),wageswouldadjusttobalancethesupplyanddemandforlabor,ensuringthatallworkerswouldbefullyemployed.◎Thetheoryofstickywagesandinvoluntaryunemploymentholdsthattheslowadjustmentofwagesproducessurplusesandshortagesinadministeredlabormarkets.

○Thistheoryholdsthatthecyclicalunemploymentoccursbecausewagesareinflexible,failingtoadjustquicklytolaborsurplusesorshortages.

○Ifwagesareabovemarket-clearinglevels,someworkersareemployedbutotherqualifiedworkerscannotfindjobs.

◎Labormarketsfailtoclearpartlybecauseofcostsinvolvedinadministeringthecompensationsystem.○Frequentadjustmentofcompensationformarketconditionswouldcommandtoolargeashareofmanagementtime,wouldupsetworkers'perceptionsoffairness,andwouldundermineworkermoraleandproductivity.○Inthelongrun,wagestendtoadjustandremoveabnormallevelsofunemploymentorjobvacancies.Buttheslowpaceofwageadjustmentmeansthatsocietiesmaysufferprolongedperiodsofunemployment.※UnionsandCollectiveBargaining

◎Aunionisaworkerassociationthatbargainswithemployersoverwagesandworkingconditions.◎Theprocessbywhichunionsandfirmsagreeonthetermsofemploymentiscalledcollectivebargaining.

◎Astrikewillbeorganizediftheunionandthefirmcannotreachanagreement.

◎Byactingasacartelwithabilitytostrikeorotherwiseimposehighcostsonemployers,unionsusuallyachieveabove-equilibriumwagesfortheirmembers.Unionworkersearn10to20percentmorethannonunionworkers.◎

AreUnionsGoodorBadfortheEconomy?

○Criticsarguethatunionscausetheallocationoflabortobeinefficientandinequitable.Wagesabovethecompetitivelevelreducethequantityoflabordemandedandcauseunemployment.Someworkersbenefitattheexpenseofotherworkers.

○

Advocatesofunionscontendthatunionsareanecessaryantidotetothemarketpoweroffirmsthathireworkers.Theyclaimthatunionsareimportantforhelpingfirmsrespondefficientlytoworkers’concerns.※Minimum-WageLaw

Whentheminimumwageissetabovethelevelthatbalancessupplyanddemand,itcreatesunemployment.※Minimum-WageLaw

Copyright?2003Southwestern/ThomsonLearningQuantityofLabor0

Surplusoflabor=UnemploymentLaborsupplyLabordemandWageMinimumwageLDLSWELE※Efficiencywages

◎Efficiencywagesareabove-equilibriumwagespaidbyfirmsinordertoincreaseworkerproductivity.◎Thetheoryofefficiencywagesstatesthatfirmsoperatemo