Moreover, as I will discuss in a minute, empirical work on wage determination may be especially hindered by issues of data quality. Let me give an example of why I think it is important to have a firm grasp of how wages are set.
After all, we live in a world with a global glut of savings and massive infrastructure deficits. We need to connect capital and opportunities. Work is already underway in our Pacific region – but it will take ongoing collective effort from the public and private sector, and through appropriate incentive structures.