cycles. Economic Theory, 12(3):583-597]. The aim of this article is to show that financing constraints can substantially … comovements between output and labor share. -- Credit and search frictions ; Labor market ; Unemployment …

bargaining cannot generate the observed volatility in unemployment and vacancy in response to reasonable labor productivity … unemployment and vacancy without resorting to an alternative wage setting mechanism. The monetary authority follows an interest …

bargaining cannot generate the observed volatility in unemployment and vacancy in response to reasonable labor productivity … unemployment and vacancy without resorting to an alternative wage setting mechanism. The monetary authority follows an interest …

, the countercyclical marginal utility of consumption induces the flow value of unemployment to be procyclical, and the … stock returns to be countercyclical. The former effect reduces unemployment volatility by weakening wage rigidity. In … contrast, the latter effect magnifies unemployment volatility by discounting higher future payoffs from hiring at a lower …

for only a small portion of the fluctuations in unemployment and vacancies (Shimer (2005a)). In this paper, the author … vintages of entrants are able to account for fluctuations in unemployment and vacancies and that, in this environment, specific …

cycles. Economic Theory, 12(3):583-597]. The aim of this article is to show that financing constraints can substantially …

unemployment across a sample of OECD countries. Using an incomplete markets variant of the fair wage real business cycle model …, increases in the gross replacement rate of public unemployment insurance are shown to increase the volatility of employment, and … which unemployment is endogenised in the model. …

Standard macroeconomic models underpredict the volatility of unemployment fluctuations. A common solution is to assume … jobs. This form of wage rigidity does not affect job creation and thus cannot explain the unemployment volatility puzzle …

cycle fluctuations in employment and unemployment. They argue that it is likely that wages are not adjusted as regularly as …

It has been noted that the search and matching model cannot account for the observed unemployment fluctuations. Gertler …