Carrillo-Tudela, Carlos; Visschers, Ludo - Departamento de Economía, Universidad Carlos III de Madrid - 2013
We build an analytically and computationally tractable stochastic equilibrium model of unemployment in heterogeneous … countercyclical unemployment, and is simultaneously consistent with procyclical reallocation, countercyclical separations and a … negativelysloped Beveridge curve. Moreover, the model exhibits unemployment duration dependence, which (when calibrated to long …