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We study the multifaceted effects and persistence of trade policy shocks on financial markets in a structural vector autoregression. The model is identified via event day heteroskedasticity. We find that restrictive US trade policy shocks affect US and international stock prices heterogeneously,...
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with the unemployment rate. It also predicts that the share of newly created jobs fulfilled by current inhabitants of a … city increases with the unemployment rate. I test this model with data from the United States census between 1980 and 2000 … city with 3.7% unemployment the average local employment multiplier is 0.91 for current inhabitants and 0.60 for migrants …
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