matching elasticity that is unlikely to hold empirically. Using a general constant returns to scale matching function, this … paper first derives analytical conditions that determine how the cyclicality of the matching elasticity amplifies or dampens … quantitatively significant and driven by plausible variation in the matching elasticity …

reproduce the volatility of the job finding rate. Moreover, the matching model embeds other non-linearities which alter the …

We extend the standard textbook search and matching model by introducing deep habits in consumption. The cyclical … for the new hires and the calibration is consistent with the estimated elasticity of unemployment to unemployment benefits … cycles ; labour market fluctuations ; search and matching ; wage bargaining …