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Salaries: a possible compromise alternative

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  • Paulo Renato Souza

Abstract

This article deals with the political debate concerning the Brazilian wage legislationduring the second semester of 1983. It explores the reasons behind proposals based onfull price indexation but suggests that measures that maintain the level of real mean wagesduring periods of wage readjustment are a realistic first step in a policy aimed at real wagerecuperation in a nonrecessionary environment. The article discusses some mechanisms ofreal average wage maintenance, including a sliding scale of readjustments not based on fixedadjustment periods. Complementary measures dealing with price controls and broader macroeconomicpolicies are discussed in closing. JEL Classification: J31; J33.

Suggested Citation

  • Paulo Renato Souza, 1984. "Salaries: a possible compromise alternative," Brazilian Journal of Political Economy, Center of Political Economy, vol. 4(2), pages 186-194.
    • Handle: RePEc:ekm:repojs:v:4:y:1984:i:2:p:186-194:id:1884
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    File URL: https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/1884/1870
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    More about this item

    Keywords

    Wage readjustment; wages;

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods

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