英文摘要 |
In this paper, we incorporate efficiency wages into a two-sector model(with an intermediate input such as the oil sector, and the final good sector).Under this framework, we examine the impact of an increase in the internationalprice of an imported input (oil) on macroeconomic variables such as thereal exchange rate, gross domestic product, price level, imports of oil, laboremployment and unemployment, as well as consumer utility of commodities.When the Marshall-Lerner condition holds, and an increase in the internationalrelative price of oil deteriorates the current account, then the increase of the oilprice will (1) depreciate real exchange rates; (2) lower gross domestic productalong with an increase in the price of the final good and a larger increase in theprice level; (3) decrease the home country’s import volumes of oil; (4) decreaselabor employment in the final sector and increase employment in the oil sector(however, overall unemployment will be higher); and (5) decrease consumerutility of commodities. The numerical simulations characterizing low factorsubstitutability and heavy dependence on oil indicate that our theoretical modelseems to be appropriate for explaining the empirical observations. |