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return. In the short run, an adverse shock to a region results in a sharp drop in employment and a gradual decline of … physical capital; the system returns to its initial capital/labor ratio after four years. The sharp drop in employment is …’s employment. …
Persistent link: https://www.econbiz.de/10005263773
We develop a model of double matching in the labor market and the social environment in order to explain different migration patterns in response to local economic shocks. This approach explains the different behaviors of workers in different groups, regions, or countries in an endogenous way by...
Persistent link: https://www.econbiz.de/10005264165