the investment rate depends mostly on future returns. -- gross investment ; gross hiring ; frictions ; business cycles …The decisions of firms on investment and hiring play a crucial role in business cycle fluctuations. This paper explores ….S. data, it shows that the model with frictions is able to fit the data. A key element is the interaction of hiring and …

This paper evaluates the impact of an unexpected temporary hiring credit targeted at workers paid below 1.6 times the … job created for the government was around zero. The employment effect was stronger in areas where recruitment was easier …. Although the hiring credit was not conditional on net job creation, it did not increase churning of workers. Nevertheless, we …