Examining the Interplay of Labour Productivity Policies and Industrial-Energy-Environmental Policy Goals

Table 1

Short- and long-run effects of a 1.5% increase in labour productivity. In % changes from base year.

	Long-run			Short-run
	FRW	BRW	ELS	FRW	BRW	ELS
Gross domestic product (GDP)	1.96	1.66	1.45	0.53	0.68	0.91
Consumer price index (CPI)	-1.32	-1.12	-0.98	-0.45	-0.50	-0.60
Unemployment rate (pp difference)	-0.49	-0.20	0.00	0.59	0.36	0.00
Total employment	0.52	0.21	0.00	-0.63	-0.38	0.00
Nominal gross wage	-1.32	-0.89	-0.60	-0.45	-0.89	-1.63
Real gross wage	0.00	0.23	0.38	0.00	-0.40	-1.03
Household consumption	0.53	0.45	0.39	-0.20	-0.07	0.08
Labour income	-0.81	-0.69	-0.60	-1.07	-1.27	-1.63
Capital income	0.60	0.51	0.44	1.06	1.47	2.07
Government budget	-8.08	-6.83	-6.00	-2.20	-2.69	-3.50
Investment	1.86	1.57	1.38	1.61	1.97	2.45
Total imports	-1.14	-0.97	-0.85	-0.39	-0.32	-0.30
Total exports	2.38	2.01	1.76	0.70	0.78	0.96
Total energy use	1.27	1.07	0.94	0.12	0.23	0.38
Electricity	1.35	0.93	0.81	0.06	0.17	0.32
Gas	1.10	1.01	0.89	0.10	0.22	0.37
Energy use in production	1.66	1.40	1.22	0.29	0.40	0.57
Energy consumption	0.81	0.68	0.59	-0.11	-0.05	0.02
Energy output prices	-0.89	-0.75	-0.66	-0.20	-0.22	-0.26
Energy output	1.70	1.44	1.26	0.18	0.27	0.40
Non energy output	1.76	1.48	1.30	0.48	0.63	0.85
Energy intensity (total energy use/GDP)	-0.69	-0.59	-0.51	-0.41	-0.45	-0.53
Territorial CO2 emissions	1.88	1.59	1.39	0.24	0.34	0.50
Emission intensity (territorial CO2/GDP)	-0.08	-0.07	-0.06	-0.28	-0.33	-0.41

Note: FRW = fixed real wage; BRW = bargained real wage; ELS = exogenous labour supply.