frictional, endogenous self-employment entry and a link between formal credit markets, informal credit, and the labor market. The … paper then shows that the model is consistent with the cyclical behavior of both labor and credit markets in Latin American … is found that a policy that reduces credit fluctuations successfully reduces consumption, investment, and output …

cycle display a persistence problem. In this paper, we follow the approach of Walsh (2002) and include search unemployment … result is that the introduction of search unemployment does improve the capability of the model to reproduce some stylized …

counteract a steep increase in unemployment. We show that short-time work can actually save jobs. However, there is an important …

-cycle-frequency fluctuations in unemployment and job vacancies, given shocks of a plausible magnitude. We use data on the cost of vacancy creation …