Financial Shocks and Labor Market Fluctuations
نویسنده
چکیده
This paper investigates the e¤ect of nancial shocks using an estimated general equilibrium model that links the rms ows of nancing with labor market variables. The results show that nancial shocks have sizeable e¤ects on nancial variables, vacancy posting, unemployment and wages. Shocks to the job destruction rate are important in describing uctuations in output and unemployment. The analysis also investigates the underlying driving forces of some key comovements in the data. JEL Classi cation: E32, E44. Keywords: Business cycle, labor market frictions, nancial shocks. I am very grateful to Wouter den Haan, Lydia Silver, Carlos Thomas and seminar participants at the Bank of England, the University of Oxford, the Money, Macro and Finance Research Group Conference in Birmingham University and the Royal Economic Society Annual Conference in Cambridge University for extremely useful comments and suggestions. Please address correspondence to: Francesco Zanetti, University of Oxford, Department of Economics, Manor Road, Oxford, OX1 3UQ, UK. Email: [email protected].
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تاریخ انتشار 2013