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Inflation and Earnings Relativities in Britain after 1970

Trevor Noble
The British Journal of Sociology
Vol. 36, No. 2 (Jun., 1985), pp. 238-258
DOI: 10.2307/590803
Stable URL: http://www.jstor.org/stable/590803
Page Count: 21
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Inflation and Earnings Relativities in Britain after 1970
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Abstract

The view that high levels of inflation reflect an intense and evenly matched balance of power between competing interest groups is examined over a period of rising and falling inflation rates. The evidence reviewed sustains this interpretation to some extent when comparing earnings relativities within the labour market but provides less support for it in relation to capital and labour in general. The relationship between inflation and earnings relativities discovered by Routh is examined for the periods of rising and falling inflation rates in the 1970s and early 1980s using data from The New Earnings Surveys. Though the pattern of relative gains and losses among the various occupational classes is complex it broadly confirms Routh's view. Movements are more marked amongst women employees however. For men it is the rigidity of the pattern throughout the period which is the most striking finding.

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