period and firms react by choosing employment, and (ii) for the commitment equilibria where the union can precommit to the … entire (infinite) sequence of wages. We conclude that the speed of adjustment of employment, that is higher in the … employment and wages only in the no-commitment case, i.e., the higher the relevance of adjustment costs the higher the wage and …

match formation. Distortions and frictions reduce employment, average firm size, and GDP per capita. They also affect how …

. Labour demand is expressed by its structural parameters, such as the elasticities of employment to output and factor prices …. Institutional variables include employment protection legislation, the structure of wage bargaining, measures describing the tax and … transfer system and active labour market policies. As cointegration between employment, output and factor prices is detected …

inventories react strongly and positively to news about future increases in total factor productivity. Theory suggests that the … transmission channel of news shocks to inventories works through movements in marginal costs, through movements in sales, or …