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...

Full description

Saved in:
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
Online Access: available in Bonn?
Database: OpenAIRE (Open Access)
Database information Databases - DBIS