This definition appears very rarely
and is found in the following Acronym Finder categories:
- Organizations, NGOs, schools, universities, etc.
- Business, finance, etc.
See other meanings of ERU
We have 41 other definitions for ERU
in our Acronym Attic
Samples in periodicals archive:
[FIGURE 2 OMITTED] Equilibrium rate of unemployment There is also some evidence that the equilibrium rate of unemployment, often referred to as the NAIRU, has increased since the onset of the financial crisis.
Then note that the rate of change of the unemployment rate should be a linear function of the difference between the equilibrium rate of unemployment and the unemployment rate of the previous time period: (2) (U - [U.
The structuralist hypothesis--see Phelps (1994) and Phelps and Zoega (1998)--tries to explain the rise in European unemployment through the adjustment to an underlying equilibrium rate of unemployment which has increased in response to structural factors of the labor market and the economy in general.
On the one hand, the fact that high unemployment no longer was associated with disinflation suggested an increase in the equilibrium rate of unemployment.
This relationship allows one to use real output as a proxy for the unemployment rate, given that potential output and the equilibrium rate of unemployment remain constant at least in the short run.
In addition, net migrants looking for work are assumed to exert the same pressure on wages as the existing unemployed, leaving the equilibrium rate of unemployment unaffected in these simulations.
A common feature in many macroeconomic models is the connection between departures from the equilibrium rate of unemployment (i.
Hence, demand shocks have short- and intermediate-run effects if expectations are formed at least partly adaptively, but the long-run equilibrium rate of unemployment is unaffected.