. Alternatively, it is shown here how wage stickiness may bring unemployment fluctuations into a New-Keynesian model. Using a Bayesian … the two models and both provide a good empirical fit, with the crucial difference that our model delivers unemployment … fluctuations. Thus, second-moment statistics of the US rate of unemployment are replicated reasonably well in our proposed New …

employment income (-0.97%), as well as an increase of unemployment (2.11%). …

employment income (-0.97%), as well as an increase of unemployment (2.11%). …

employment income (-0.97%), as well as an increase of unemployment (2.11%). …

are flexible, the standard deviation of unemployment in a model with rigid wages for incumbent workers (only) matches the …

New-Keynesian macroeconomic models typically assume that any long-run trade-off between inflation and unemployment is … rate, unemployment and inflation in West Germany from the early 1960s up to 2004 using a multivariate co … data a strong negative correlation between the trend components of inflation and unemployment. We show that this finding …

We develop a utility based model of fluctuations, with nominal rigidities, and unemployment. In doing so, we combine …-Mortensen-Pissarides model, with its focus on labor market frictions and unemployment. In developing this model, we proceed in two steps. We … effect on unemployment in the constrained efficient allocation. We then focus on the implications of alternative real wage …