01665cas a2200241 a 4500 AALejournalIMF005404 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451871012 1018-5941 BD-DhAAL BD-DhAAL Goretti, Manuela. Wage-Price Setting in New EU Member States / Manuela Goretti. Washington, D.C. : International Monetary Fund, 2008. 1 online resource (24 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper analyzes wage- and price-setting relations in new EU member countries. Panel estimates indicate a strong and significant relationship between real wages and labor productivity, as well as evidence of wage pass-through to inflation. Terms of trade shocks do not feed through to real wages. Country-specific wage developments, beyond differences in labor productivity growth, are mostly explained by real wage catch-up from different initial levels and different labor market conditions. Qualitative evidence also suggests that public sector wage demonstration effects and institutional factors may play a role in wage determination. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2008/243 Full text available on IMF http://elibrary.imf.org/view/journals/001/2008/243/001.2008.issue-243-en.xml IMF e-Library