Interaction of Monetary Policy and Wage Bargaining in the European Monetary Union

Discover the intricate relationship between wage bargaining and monetary policy in "Interaction of Monetary Policy and Wage Bargaining in the European Monetary Union" by S. Dullien. Published by Palgrave Macmillan in 2004, this insightful book spans 276 pages and delves into the dynamics of the European Monetary Union (EMU). Dullien presents a compelling argument that unemployment arises from a lack of cooperation between unions and monetary authorities. In an economy characterized by endogenous money like the EMU, he asserts that wage setters play a crucial role in maintaining price stability, while the central bank focuses on output levels. This essential read is perfect for economists, policymakers, and anyone interested in understanding the complexities of wage negotiations and monetary policy within the context of the European Union. Explore the challenges and implications of these interactions to gain a deeper understanding of the economic landscape.