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Encyclopedia of Finance pp 715–723Cite as

Policy coordination between wages and exchange rates in Singapore

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Abstract

Singapore’s unique experience in macroeconomic management involves the government’s engagement in a tripartite collective bargaining and its influence on the macroeconomic policy game in wages and exchange rates in response to inflation and output volatility. The period from the mid-190 to mid-1990 features the policy game with a Nash equilibrium in the level of wages and exchange rates and a non-Nash equilibrium in wage growth and exchange rate appreciations. Based on the empirical evidence in this period, the models used in this study suggests that wage and exchange-rate policies are a pair of complements both at their levels (Nash equilibrium) and at their percentage changes (non-Nash equilibrium).

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Author information

Authors and Affiliations

  1. Salisbury University, USA, Salisbury

    Ying Wu

Authors
  1. Ying Wu
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Editor information

Editors and Affiliations

  1. Rutgers University, New Brunswick/Piscataway, USA

    Cheng-Few Lee

  2. San Francisco State University, San Francisco, USA

    Alice C. Lee

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© 2006 Springer Science+Business Media, Inc.

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Wu, Y. (2006). Policy coordination between wages and exchange rates in Singapore. In: Lee, CF., Lee, A.C. (eds) Encyclopedia of Finance. Springer, Boston, MA. https://doi.org/10.1007/978-0-387-26336-6_73

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  • DOI: https://doi.org/10.1007/978-0-387-26336-6_73

  • Publisher Name: Springer, Boston, MA

  • Print ISBN: 978-0-387-26284-0

  • Online ISBN: 978-0-387-26336-6

  • eBook Packages: Business and Economics

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