Showing 1 - 10 of 27
At the onset of the COVID pandemic, the U.S. economy suddenly and swiftly lost 20 million jobs. Over the next two years, the economy has been on the recovery path. We assess the labor market two years into the COVID crisis. We show that early employment dynamics were almost entirely driven by...
Persistent link: https://www.econbiz.de/10013362041
We introduce dynamic incentive contracts into a model of unemployment dynamics and present three results. First, wage … cyclicality from incentives does not dampen unemployment dynamics: the response of unemployment to shocks is first … cyclicality from bargaining dampens unemployment dynamics through the standard mechanism. Third, our calibrated model suggests 46 …
Persistent link: https://www.econbiz.de/10014372479
We present a model in which efficient long-term employment relationships are sustained by wage adjustments prompted by productivity shocks and outside job offers. These wage adjustments occur only sporadically, due to the presence of renegotiation costs. The model is amenable to analytical...
Persistent link: https://www.econbiz.de/10015145100
, unemployment and inflation to aggregate shocks. The ratio between job-finding probabilities from job-to-job and from unemployment … the unemployment rate …
Persistent link: https://www.econbiz.de/10014322853
This paper develops new estimates of flows into and out of unemployment that allow for unobserved heterogeneity across … workers as well as direct effects of unemployment duration on unemployment-exit probabilities. Unlike any previous paper in … shocks to the short-run, medium-run, and long-run variance of unemployment as well as to specific historical episodes. We …
Persistent link: https://www.econbiz.de/10012456226
U.S. labor markets became much less fluid in recent decades. Job reallocation rates fell more than a quarter after 1990, and worker reallocation rates fell more than a quarter after 2000. The declines cut across states, industries and demographic groups defined by age, gender and education....
Persistent link: https://www.econbiz.de/10012458189
unemployment to employment in routine occupations, (ii) that from labor force non-participation to routine employment, and (iii …
Persistent link: https://www.econbiz.de/10012458359
signals. The University of Michigan Social Media Job Loss Index tracks initial claims for unemployment insurance at medium and …
Persistent link: https://www.econbiz.de/10012458654
The flow opportunity cost of moving from unemployment to employment consists of foregone public benefits and the … is procyclical and volatile over the business cycle. The estimated cyclicality implies far less unemployment volatility …
Persistent link: https://www.econbiz.de/10012458984
This paper considers a dynamic, non-steady state environment in which wage dispersion exists and evolves in response to shocks. Workers do not observe firm productivity and firms do not commit to future wages, but there is on-the-job search for higher paying jobs. The model allows for firm...
Persistent link: https://www.econbiz.de/10012460637