We study the effects of liquidity constraints and start-up costs on the relationship between wealth and the fraction of … function of individual wealth while the introduction of start-up costs tends to flatten this relationship. The theoretical … business start-up costs. We use three highly comparable micro datasets (SHARE, ELSA and HRS) providing harmonized data on …

macroeconomic volatilities. In our subsequent empirical estimations, we find that higher labor turnover costs have a statistically … theory. While labor market institutions have a large effect on output volatility, they do not seem to have much of an effect …

We study the effects of liquidity constraints and start-up costs on the relationship betweenwealth and the fraction of …

This paper presents a theory explaining the labor market matching process through microeconomic incentives. There are … heterogeneous variations in the characteristics of workers and jobs, and firms face adjustment costs in responding to these …

We study the design of optimal monetary policy in a New Keynesian model with labor turnover costs in which wages are … zero and the optimal volatility of inflation is an increasing function of firing costs. The optimal rule should react to …

puzzle is highly misleading, relying on the exogeneity of the forcing variable (e.g. output gap, marginal costs, unemployment …

persistence, nor output costs of disinflations. Real wage rigidities actually create a boom after a permanent reduction in the …