Due to the absence of longitudinal data, empirical studies ignore labor income dynamics in developing economies, where earnings inequality is highest and social insurance is weakest. This work proposes a dynamic earnings process with two distinct shocks: unemployment spells and the wage of...

The present study analyzes how copper price shocks affect macroeconomic variables in Chile, which is the largest producer in the world of this commodity. It is taken into account that shocks with different sources may have different impacts and a separation is made between supply, demand, and...

I document a new set of facts about the labor wedge in the United States. First, while the labor wedge is counter-cyclical, its cross-sectional variation is pro-cyclical. Second, this finding holds regardless of gender, marital status, age, race, education and income rank. In order to show these...

This paper evaluates the role of non-structural factors in explaining the degree of pass-through of exchange rate movements to the general price level in the Chilean economy. We review the mechanisms that explain the presence of asymmetries and the results obtained by earlier studies for Chile....

This paper analyzes the performance of Chilean exporting firms during the period after the financial crisis of 2008 and 2009. After the crisis, world imports increased sustainably, which was used by Chilean firms in particular and the country in general. Specifically, larger firms, and those...

The downward trend exhibited in Chile's nominal 10-year interest rate since 2003 has been a common pattern shared by other developed and developing economies. To understand the behavior of the nominal yield curve in Chile, we rely on an affine dynamic term structure model (DTMS) which allows to...

We find that communication of the votes of FOMC members affects stock returns around the days of announcements. Since votes have been made public through press statements in 2002, stock markets gain value when votes are unanimous but lose value when dissent occurs. This pattern extends to US...

The objective of this work is to construct an appropriate measure of liquidity risk for Chilean banks. There are already several measures of liquidity risk in the literature. Most of these metrics are based on specific assumptions and expert opinion. In order to overcome the potential problems...