wagegrowthbased
Wagegrowthbased is a term used in economics and public policy to describe approaches, analyses, or metrics that base decisions or evaluations on the rate of wage growth. The central idea is that changes in wages reflect living standards and that policy adjustments should respond accordingly. The term is not tied to a single institutional framework and may be used descriptively to contrast with models that prioritize productivity, inflation, or unemployment, or with fixed-rule approaches.
Calculation and data: wagegrowthbased analyses rely on measures of wage growth, typically real or nominal, and
Applications: examples include indexing social benefits to wage growth to preserve purchasing power, tying automatic adjustments
Advantages and limitations: proponents argue it improves alignment with living standards and can be transparent and
See also: cost-of-living adjustment, indexing, wage growth, living wage, fiscal policy rules.