Krusell, Per; Mukoyama, Toshihiko; Rogerson, Richard; … - In: Journal of Economic Theory 146 (2011) 3, pp. 1107-1133
We develop a simple model featuring search frictions and a nondegenerate labor supply decision along the extensive margin. The model is a standard version of the neoclassical growth model with indivisible labor and idiosyncratic productivity shocks and frictions characterized by employment loss...