We analyse optimal saving of risk-averse households when labour income stochastically jumps between two states. The generalized Keynes-Ramsey rule includes a precautionary savings term. A phase diagram analysis illustrates consumption and wealth dynamics within and between states. There is an...

Italy’s low employment rate is associated with adverse labour market dynamics characterised differently across different categories of people. Both job separation and re-employment have remained less frequent in Italy, especially among older workers, against the backdrop of rigid employment...

Why do more educated workers experience lower unemployment rates and lower employment volatility? A closer look at the data reveals that these workers have similar job finding rates, but much lower and less volatile separation rates than their less educated peers. We argue that on-the-job...

Why do more educated workers experience lower unemployment rates and lower employment volatility? A closer look at the data reveals that these workers have similar job finding rates, but much lower and less volatile separation rates than their less educated peers. We argue that on-the-job...

Varios estudios realizados en Bolivia sugieren que los trabajadores calificados son escasos y que los puestos de trabajo en el sector público son tan atractivos que el sector privado no puede captar ni mantener los trabajadores calificados que necesita. Tal tendencia limita fuertemente el...

This paper estimates structural parameters of both a simple and an extended job separation model with the purpose of understanding constraints in the labor market in Bolivia. The results confirm the hypothesis that skilled labor is a scarce commodity in Bolivia, while unskilled labor is...

This paper extends the literature on the earnings losses of displaced workers to provide a more comprehensive picture of the earnings and employment outcomes for workers who separate. First, we compare workers who separate from distressed employers (presumably displaced workers) and those who...

Shimer (2005) argues that the Mortensen-Pissarides (MP) model of unemployment lacks an amplification mechanism because it generates less than 10 percent of the observed business cycle fluctuations in unemployment given labor productivity shocks of plausible magnitude. This paper argues that part...

This paper estimates structural parameters of both a simple and an extended job separation model with the purpose of understanding constraints in the labor market in Bolivia. The results confirm the hypothesis that skilled labor is a scarce commodity in Bolivia, while unskilled labor is...

Varios estudios realizados en Bolivia sugieren que los trabajadores calificados son escasos y que los puestos de trabajo en el sector público son tan atractivos que el sector privado no puede captar ni mantener los trabajadores calificados que necesita. Tal tendencia limita fuertemente el...