Casares, Miguel; Moreno, Antonio; Vázquez, Jesús - In: SERIEs - Journal of the Spanish Economic Association 3 (2012) 3, pp. 395-422
. Alternatively, it is shown here how wage stickiness may bring unemployment fluctuations into a New-Keynesian model. Using a Bayesian … the two models and both provide a good empirical fit, with the crucial difference that our model delivers unemployment … fluctuations. Thus, second-moment statistics of the US rate of unemployment are replicated reasonably well in our proposed New …