In a new-Keynesian model we compare the determinacy regions of price-level targeting rules (called Wicksellian rules) and Taylor rules. We conclude that Wicksellian rules do not require the Taylor principle to be satisfied to induce determinacy. Moreover, the areas of determinacy are generally...

This study examines changes in returns to formal education and cognitive skills over the last 20 years using the 1979 and 1997 waves of the National Longitudinal Survey of Youth. We show that cognitive skills had a 30%-60% larger effect on wages in the 1980s than in the 2000s. Returns to...

This paper presents some stylized facts about the minimum wage and the labor market in Chile, using primarily Casen survey data and the Supplementary Income Survey (ESI). About 4% of workers (employees) are allocated to the minimum wage in Chile (Casen 2011). Whereas a static analysis, a minimum...

This paper analyzes the labor market dynamics in Chile using micro data from the unemployment insurance data base. Labor market flows between labor status, between geographical areas and economic sectors are calculated. It is found that a high percentage of workers change jobs without going...

We present descriptive statistics of the Chilean labor market over the last 25 years. Several demographic and institutional changes may influence the individual’s decision to participate or not in the labor force. The present study shows trends in participation, employment, wages and other...

We study the effect of a binding minimum wage on labor market outcomes, the accumulation of capital and welfare. We consider a large firm that invests in physical capital and hires several types of workers. Labor markets are characterized by search and matching frictions, while incomplete wage...

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This study examines changes in returns to formal education and cognitive skills over the past 20 years using the 1979 and 1997 waves of the National Longitudinal Survey of Youth. We show that cognitive skills had a 30%–50% larger effect on wages in the 1980s than in the 2000s. Returns to...

This study examines changes in returns to formal education and cognitive skills over the last 20 years using the 1979 and 1997 waves of the National Longitudinal Survey of Youth. We show that cognitive skills had a 30%-50% larger effect on wages in the 1980s than in the 2000s. Returns to...