eprintid: 10148586 rev_number: 10 eprint_status: archive userid: 699 dir: disk0/10/14/85/86 datestamp: 2022-05-17 12:59:16 lastmod: 2023-05-15 16:40:42 status_changed: 2022-05-17 12:59:16 type: article metadata_visibility: show sword_depositor: 699 creators_name: Merrino, Serena title: Monetary policy and wage inequality in South Africa ispublished: pub divisions: UCL divisions: D92 divisions: B03 keywords: Inequality, Labour market, Local projections, Monetary policy, South Africa note: This version is the author accepted manuscript. For information on re-use, please refer to the publisher’s terms and conditions. abstract: The distributive consequences of monetary policy have been researched only recently and almost entirely in advanced economies. This paper sheds light on the effect of conventional monetary policy shocks on the wage distribution in South Africa, where inequality – mostly driven by the segmented labour market – remains a large issue. Impulse response functions estimated from local projections show that the wage distribution significantly worsens in response to monetary shocks. Wages in the top half of the distribution, that benefit from unanticipated expansions, are less responsive to surprise contractions, remaining protected by skill-biased technology and strong labour unions. date: 2022-12 date_type: published publisher: Elsevier BV official_url: https://doi.org/10.1016/j.ememar.2022.100911 oa_status: green full_text_type: other language: eng primo: open primo_central: open_green verified: verified_manual elements_id: 1956586 doi: 10.1016/j.ememar.2022.100911 lyricists_name: Merrino, Serena lyricists_id: SMERR69 actors_name: Merrino, Serena actors_id: SMERR69 actors_role: owner full_text_status: public publication: Emerging Markets Review volume: 53 article_number: 100911 citation: Merrino, Serena; (2022) Monetary policy and wage inequality in South Africa. Emerging Markets Review , 53 , Article 100911. 10.1016/j.ememar.2022.100911 <https://doi.org/10.1016/j.ememar.2022.100911>. Green open access document_url: https://discovery.ucl.ac.uk/id/eprint/10148586/1/1-s2.0-S1566014122000280-main.pdf