Similar Search Results

International Trade in Durable Goods : Understanding Volatility, Cyclicality, and Elasticities

Engel, Charles M. - 2008

Data for OECD countries document: 1. imports and exports are about three times as volatile as GDP; 2. imports and exports are pro-cyclical, and positively correlated with each other; 3. net exports are counter-cyclical. Standard models fail to replicate the behavior of imports and exports,...

Persistent link: https://www.econbiz.de/10012772731

Durability of Output and Expected Stock Returns

Gomes, Joao F. - 2010

The demand for durable goods is more cyclical than that for nondurable goods and services. Consequently, the cash flows and stock returns of durable-good producers are exposed to higher systematic risk. Using the benchmark input-output accounts of the National Income and Product Accounts, we...

Persistent link: https://www.econbiz.de/10012760299

Durable Goods Cycles

Caplin, Andrew; Leahy, John V. - 2021

We show that a straight forward approximation of the distribution of durable goods holdings gives rise to a tractable equilibrium (S,s) model of durable demand. We analyze both competitive and monopoly supply. We show that equilibrium interactions lead to elongated impulse responses in demand,...

Persistent link: https://www.econbiz.de/10013248682

Increasing Returns, Durables and Economic Fluctuations

Murphy, Kevin M.; Shleifer, Andrei; Vishny, Robert W. - 2021

We describe an economy where a durable good is produced with an increasing returns to scale technology. Equilibria in this economy take the form of business cycles in which consumption fluctuates too much and is too low on average. A 2-sector version of this economy with imperfect credit and...

Persistent link: https://www.econbiz.de/10013211664

Cyclical Pricing of Durable Goods

Bils, Mark - 2021

I examine price markups in monopolisticly-competitive markets that experience fluctuations in demand because the economy experiences cyclical fluctuations in productivity. Markups depend positively on the average income of purchasers in the market. For a nondurable good average income of...

Persistent link: https://www.econbiz.de/10013230197

Structural and Cyclical Forces in the Labor Market During the Great Recession : Cross-Country Evidence

Sala, Luca - 2012

We use an estimated monetary business cycle model with search and matching frictions in the labor market and nominal … factors and reduced efficiency in labor market matching were largely responsible for the experience in the U.S. Financial … factors were also important in the U.K., but less so in Sweden and Germany. Reduced matching efficiency was considerably less …

Persistent link: https://www.econbiz.de/10013099824

Secular Labor Reallocation and Business Cycles

Chodorow-Reich, Gabriel - 2016

recessions but not during national expansions. We repeat our empirical exercise in a multi-area, multi-sector search and matching …

Persistent link: https://www.econbiz.de/10013001764

Empirical Evidence on the Aggregate Effects of Anticipated and Unanticipated U.S. Tax Policy Shocks

Mertens, Karel - 2010

We provide empirical evidence on the dynamics effects of tax liability changes in the United States. We distinguish between surprise and anticipated tax changes using a timing-convention. We document that pre-announced but not yet implemented tax cuts give rise to contractions in output,...

Persistent link: https://www.econbiz.de/10013139130

Consumption and the Great Recession

De Nardi, Mariacristina - 2011

We document some key facts about aggregate consumption and its subcomponents over time. We then document the behavior of some important determinants of consumption, such as consumers' expectations about their future income, and changes in the consumers' wealth positions. Finally, we use a simple...

Persistent link: https://www.econbiz.de/10013117210

The Extensive Margin, Sectoral Shares and International Business Cycles

Devereux, Michael B. - 2011

This paper documents some previously neglected features of sectoral shares at business cycle frequencies in OECD economies. In particular, we find that the nontraded sector share of output is as volatile as aggregate GDP, and that for most countries, the nontraded sector is distinctly...

Persistent link: https://www.econbiz.de/10013121594