Welfare Cost of Fluctuations When Labor Market Search Interacts with Financial Frictions

We study the welfare costs of business cycles in a search and matching model with financial frictions à la Kiyotaki & Moore (1997). We investigate the mechanisms thatnallow the model to replicate the volatility on labor and financial markets and show that business cycle costs are sizable. We fir...

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Bibliographic details
Main Author: Iliopulos, Eleni
Langot, Francois
Sopraseuth, Thepthida
Format: Publication
Language: English
Place of publication: HAL CCSD 25.10.2019
Data of publication: 2019-10-25
Subjects:
Online Access: available in Bonn?
Database: OpenAIRE (Open Access)
OpenAIRE
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