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We study how human capital diversification, in the form of double majoring, affects the response of earnings to labor market shocks. Double majors experience substantial protection against earnings shocks, of 56%. This finding holds across different model specifications and data sets....
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properties of employment and unemployment equilibrium. Second, it applies the model to the study of employment fluctuations and … unemployed workers from inactivity to production (the ‘job creation’ flow) and one for the flow of workers from employment to … flows are equal. The model is shown to explain well the employment fluctuations observed in the US economy, within the …
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This paper offers a new approach to measuring the size of the informal economy based on VAT data for the European Union. Although data intensive, our EVADE measure is simpler and more transparent than existing measures. EVADE also shows more variation across countries of Europe than earlier...
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movements of key macroeconomic variables, i.e., CPI inflation, GDP, employment, and an output gap. In particular, questions … output gap and adds information to the benchmark forecasts for GDP and employment. …
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We study the relation between inflation and real activity over the business cycle. We employ a Trend-Cycle VAR model to control for low-frequency movements in inflation, unemployment, and growth that are pervasive in the post-WWII period. We show that cyclical fluctuations of inflation are...
Persistent link: https://www.econbiz.de/10014247995
Structural time series models are formulated in terms of components, such as trends, seasonals and cycles, that have a direct interpretation. As well as providing a framework for time series decomposition by signal extraction, they can be used for forecasting and for ‘nowcasting’. The...
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