Economics, Econometrics and Finance
8 years ago

New research challenges traditional economic theories on growth and employment.

RePEc: Research Papers in Economics
Growth and Employment: A survey on the Demand Side of the Labour Market
Mg. Ladu

Paper Summary

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The article discusses how two important theories in economics, growth theory and labor market theory, have not been well connected in the past. The growth theory assumes full employment, while the labor market theory focuses on inflation and ignores growth. Recent research suggests that this separation may not be justified, and there could be connections between the two theories that have been overlooked.