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The Great Recession, which was preceded by the financial crisis, resulted in higher unemployment and inequality. We …, tighter credit leads to lower output, lower number of vacancies, and higher directed-search unemployment. Where workers are …
Persistent link: https://www.econbiz.de/10011539874
We formulate and estimate a business cycle model which can account for key business cycle properties of labor market variables and other aggregates. Three features distinguish our model from the standard model with Search And Matching (SAM) frictions in the labor market: frictional firm entry,...
Persistent link: https://www.econbiz.de/10012316009