bloom, nicholas; Floetotto, Max; Jaimovich, Nir; … - National Bureau of Economic Research (NBER) - 2012
We propose uncertainty shocks as a new shock that drives business cycles. First, we demonstrate that microeconomic uncertainty is robustly countercyclical, rising sharply during recessions, particularly during the Great Recession of 2007-2009. Second, we quantify the impact of time-varying...