We also study the dynamics of job turnover following an unanticipated cut in tariffs. In the transition to the new steady state, we find that job turnover temporarily rises as workers are reallocated from less productive non-exporters to more productive exporters. These increases in job turnover...

We examine the general equilibrium implications of an Aguirregabiria (1999) - type economy, in which firms are subject to fixed cost of price- and inventory-adjustment that is capable of generating infrequent orders and price changes observed in the data. We ask whether the model can account for...