Hello Everyone,
I am currently trying to figure out how Anwar comes about the classical curve (Book p. 649, Lecture 24). How does the whole discussion about endogeneous savings and growth somehow lead to the "growth of wageshare is a function of unemployment"? I dont get how beta (labor strenght so to speak) and omega are not the same and how it can be multiple curves the growth of wage share moves up and down on? Why is the curve shifted in the neoliberal era? So: How are beta and omega not the same and how does the curve shift itself but sometimes just the point on the curve moves without the actual curve moving? How can this curve be derived? It just seems there is a normal unemployment assumed and then the growth of wage share is being said as to be a Philips-curve-type-of-function without further explanation.
Thank you