IMF working paper discusses competitiveness and labour costs

International Monetary Fund headquarters

A working paper published by the International Monetary Fund, released on April 30, examines industry unit labour costs as a measure of competitiveness.

Using Slovakia as an example, authors Mark de Broeck, Anastasia Guscina and Gil Mehrez write that the term 'competitiveness' is often imprecisely defined and this can lead to "analytical errors and mistaken policy advice".

The authors write that the working paper seeks to define the concept of external competitiveness and to develop a

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