Research Discussion Paper – RDP 9509 Australian Wage and Price Inflation: 1971–1994

Contents

• Introduction
• Imperfect Competition Model of Inflation
• Estimation of the Price and Wage Equations
• Conclusions
• Appendix A: Imperfect Competition Model of Inflation
• Appendix B: Integration Tests of the Data
• References

We would like to thank Palle Andersen, Gordon de Brouwer, David Gruen, Ricky Lam, Phil Lowe and Jenny Wilkinson for their helpful comments and discussion. Views expressed in this paper are those of the authors and not necessarily those of the Reserve Bank of Australia.