Increasing productivity in Barbados boosts wages and offsets inflation, study finds.
The study looked at how wages, prices, and productivity are connected in Barbados. They found that when costs go up, inflation goes up too. But if productivity increases, real wages go up and help balance out inflation. Factors like domestic demand, real wages, and technology affect productivity. The study suggests that boosting productivity can make Barbados more competitive, dealing with imported inflation is important, and wage policies should consider how productivity, real wages, and inflation are linked.