In this paper we develop the standard utility function of a Ramsey-type optimal growth model to account for a "market-time" vs. "free-time" trade-off. To do so, we introduce a free-time preference coefficient that measures the utility gained by deviating from a maximum labour supply defined as...

In this paper, we analyse Okun's law - a relation between the change in the unemployment rate and GDP growth - using data from Australia, the euro area, the United Kingdom and the United States. More specifically, we assess the relevance of non-Gaussianity when modelling the relation. This is...

Okun's law is one of the most widely-known stylized facts in the macroeconomic literature and policy. In this paper, we study several aspects of Okun's law in Macedonia between 2004 and 2014. Aggregate indicators show a link between output and unemployment that is in line with this empirical...