caa a22 4500 388051531 CHVBK 20180307125054.0 cr unu---uuuuu 161130s1998 xx s 000 0 eng 10.1162/002081898550635 doi S0020818398440438 pii (NATIONALLICENCE)cambridge-10.1162/002081898550635 Iversen Torben Wage Bargaining, Central Bank Independence, and the Real Effects of Money [Elektronische Daten] [Torben Iversen] The effects of financial capital mobility on monetary policy autonomy are relatively well understood, but the importance of particular monetary regimes in distinct national-institutional settings is not. This article is a theoretical and empirical exploration of the effects of monetary policy regimes on unemployment in different national wage-bargaining settings. Based on a rational expectations, two-stage game of the interaction between the wage behavior of labor unions and the monetary policies of governments, I argue that monetary policies have real (employment) effects in all but the most decentralized bargaining systems. Specifically, in intermediately centralized bargaining systems a credible government commitment to a nonaccommodating monetary policy rule will deter militant wage behavior with salutary effects on unemployment. In highly centralized systems, by contrast, restrictive monetary policies will clash with unions' pursuit of wage-distributive goals and produce inferior employment performance. Only in highly fragmented bargaining systems is money "neutral” in the sense that employment performance is unaffected by monetary regimes. The model has clear consequences for the optimal design of central banks and collective bargaining arrangements and suggests new ways to study institutional change (hereunder the causal effect of increasingly globalized capital markets). The argument is supported by pooled time-series data for fifteen OECD countries over a twenty-one-year period. Copyright © The IO Foundation 1998 International Organization Cambridge University Press 52/3(1998), 469-504 0020-8183 52:3<469 1998 52 INO https://doi.org/10.1162/002081898550635 text/html Onlinezugriff via DOI 1 research-article jats NATIONALLICENCE 856 40 https://doi.org/10.1162/002081898550635 text/html Onlinezugriff via DOI NATIONALLICENCE 100 1- Iversen Torben NATIONALLICENCE 773 0- International Organization Cambridge University Press 52/3(1998), 469-504 0020-8183 52:3<469 1998 52 INO CC0 http://creativecommons.org/publicdomain/zero/1.0 nationallicence SWISSBIB 388051531 BK010053 XK010053 XK010000 NATIONALLICENCE NATIONALLICENCE NL-cambridge