Working Papers,
Copenhagen Business School, Department of Economics

Abstract: The paper gives an overview over four papers (chapters) dealing

with the business cycle for the economy of Bornholm, 1987 to 1996. As a

reference is used two regions in the capital area and the country as a whole. At

the centre of interest is the labor market. The basic description is in chapter 1,

and the model based treatment is in chapter 3. Prices and incomes are analysed

with the purpose of finding regional prices and real incomes, chapter 2. These

variables are used in the macroeconomic analysis in the following chapter.

The employment on Bornholm is declining following a trend. Unemployment

in the regions considered is increasing in relative terms. Nominal wages and

incomes are influenced only to a small extent by the development of

employment and the rate of unemployment. A special and short business cycle

occurs for Bornholm during the years 1988-1990. Its origin seems to be a

demand chock. The episode is treated in chapter

Keywords: Denmark; Business cycle; Bornholm

JEL-codes: R51

14 pages, July 12, 2001

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