<abstract xmlns="http://www.w3.org/1999/xhtml">

<p>This study presents a dynamic general equilibrium model with an explicit employment period and investigates economic fluctuations to a temporary productivity shock. Numerical experiments indicate oscillatory responses of new hiring and employment to the shock which are not observed in a standard flexible price model. The explicit employment period constructs an overlapping structure of employment which results in the oscillatory response. This study also examines the effects of change in employment period to economic fluctuations and shows that the variations in new hiring are higher when the employment period is long.</p>
</abstract>

This study presents a dynamic general equilibrium model with an explicit employment period and investigates economic fluctuations to a temporary productivity shock. Numerical experiments indicate oscillatory responses of new hiring and employment to the shock which are not observed in a standard flexible price model. The explicit employment period constructs an overlapping structure of employment which results in the oscillatory response. This study also examines the effects of change in employment period to economic fluctuations and shows that the variations in new hiring are higher when the employment period is long.

Economic fluctuations in a model with an overlapping structure of employment

Economics and Business Review

This work is licensed under the Creative Commons Attribution 4.0 International License.

{"article-title":"Economic fluctuations in a model with an overlapping structure of employment"}

This study presents a dynamic general equilibrium model with an explicit employment period and investigates economic fluctuations to a temporary productivity...

Economic fluctuations in a model with an overlapping structure of employment

Publié en ligne: 16 oct. 2021

Pages: 5 - 15

Reçu: 15 mai 2021

Accepté: 12 août 2021

DOI: https://doi.org/10.18559/ebr.2021.3.2

Mots clés
economic fluctuations, employment, employment period, oscillatory response

© 2021 Toyoki Matsue, published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.

Economic fluctuations in a model with an overlapping structure of employment

Publié en ligne: 16 oct. 2021

Pages: 5 - 15

Reçu: 15 mai 2021

Accepté: 12 août 2021

DOI: https://doi.org/10.18559/ebr.2021.3.2

Mots cléseconomic fluctuations, employment, employment period, oscillatory response

© 2021 Toyoki Matsue, published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.

Mots clés
economic fluctuations, employment, employment period, oscillatory response