§ Mr. Favellasked the Chancellor of the Exchequer what estimate he has made of the number of jobs which would be created if the increase in average earnings remained at or below the rate of inflation; and if he will make a statement.
§ Mr. MacGregorEvidence summarised in a paper by Treasury officials, published in January 1985 ("The Relationship between Employment and Wages"; HM Treasury), suggested that a 1 per cent. reduction in real wages could lead to between 110,000 and 220,000 extra jobs in the long run.