Postel-Vinay, Fabien - 2006
capacity of a structural job search model with i.i.d. productivity shocks to replicate salient properties of these dynamics … quantitatively plausible quot;internal propagation mechanismquot; of i.i.d. productivity shocks into persistent wage shocks. The ….i.d. productivity shocks. This offers an alternative to the conventional linear ARMA-type approach to modelling earnings dynamics …