Unemployment and productivity in the long-run: The role of macroeconomic volatility

Benigno, P, Ricci, L A and Surico, P (2015) Unemployment and productivity in the long-run: The role of macroeconomic volatility. Review of Economics and Statistics, 97 (3). pp. 698-709. ISSN 0034-6535

Abstract

This paper presents a new empirical regularity between the volatility of productivity growth and long-run unemployment for a given level of long-run productivity growth. A theoretical framework based on asymmetric real wage rigidities is shown to have the potential to rationalize this finding. The model tends to fit U.S. long-run unemployment better than a specification based on long-run productivity growth only, especially during the Great Moderation and the Great Recession.

More Details

[error in script]
Item Type: Article
Subject Areas: Economics
Date Deposited: 02 Mar 2016 18:51
Last Modified: 28 Mar 2024 03:02
URI: https://lbsresearch.london.edu/id/eprint/133
[error in script] More

Export and Share


Download

Full text not available from this repository.

Statistics

Altmetrics
View details on Dimensions' website

Downloads from LBS Research Online

View details

Actions (login required)

Edit Item Edit Item