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technology shocks. It is found that hours worked increase on impact in response to a technology shock (though the effect dies …
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technology shocks. It is found that hours worked increase on impact in response to a technology shock (though the effect dies …
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-2000 sample, the initial response of investment to a productivity shock with responses in the top quartile is 60% higher than the … shock. Conversely, a slowdown after a boom can lead to a long lasting investment slump, which is unresponsive to policy … smoothing in the investment response to aggregate shocks. The remaining 40% is explained by general equilibrium forces. The …
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