Christoffel, Kai (contributor); Küster, Keith (contributor) - 2006
to the output gap hatwideyt.17 In addition the central smoothes
16 The Phillips curve is standard (see e.g. Smets and … Wouters, 2003) and can be obtained by linearizing (27).
17 The output gap here is the percentage deviation of output from … business cycle dynamics.
In particular, we analyze how shocks in the labor market affect the evolution of employment and
output …