This paper analyzes the robustness of the estimate of a positive productivity shock on hours to the presence of a … productivity shock has a negative effect on hours, as in Francis and Ramey (2001), but the effect is much more short-lived, and …

set of countries (for example, a weather-related shock, a domestic policy shock); or they can be common to the entire … mechanisms, in turn, are important because a shock that was initially country-specific, originating in one country, might …

horizons for real GNP. While one shock looks like a productivity shock in the line of the real business cycle literature, the … other one seems to be wage-push or inflationary shock, unrelated to consumption or government spending and not induced by … monetary policy. While the first shock can be viewed as a ''supply shock'', the second shock does not have an obvious ''demand …

This paper presents a generalized two-step maximum likelihood estimation method for partially identified vector …