Lohnentwicklung und Deflationsgefahren in Deutschland und Europa

Abstract

Starting from a post-Keynesian model of the relationship between wages, prices and employment this paper studies the development of unit labour costs and inflation in Germany and Europe in the first place. Then, the reasons for the deflationary course of wages, in particular in Germany, are analysed. Finally the impact of deflationary wage policies on German and European stagnation are discussed and it is concluded, that German wage policies do not only exacerbate stagnation and deflationary tendencies in Germany but might also impose a deflationary impact on the EMU.