By Ludo Visschers, Paolo Martellini and Guido Menzio Published in The Economic Journal Abstract We revisit the hypothesis that cyclical fluctuations in unemployment are caused by shocks to the discount rate. We use a...
Publications
How long does economic injustice last?
By David Miles Published in National Institute Economic Review Abstract This article assesses whether economic injustices that took place in the past still have significant implications for the material welfare of...
Directed Technical Change as a Response to Natural Resource Scarcity
By John Hassler, Per Krusell and Conny Olovsson Published in the Journal of Political Economy Abstract We develop a quantitative macroeconomic theory of input-saving technical change to analyze how markets economize on...
UK House Prices and Three Decades of Decline in the Risk Free Real Interest Rate
By David Miles and Victoria Monro. Forthcoming in Economic Policy. House prices have risen substantially faster than the prices of consumer goods in most G7 countries over the past few decades. This raises major policy...
Long-Term-Care Utility and Late-in-Life Saving
Long-Term-Care Utility and Late-in-Life Saving By John Ameriks, Joseph Briggs, Andrew Caplin, Matthew D. Shapiro, and Christopher Tonetti. Published in Journal of Political Economy in 2020 Abstract: Older wealth holders...
Portfolio rebalancing in general equilibrium
Portfolio rebalancing in general equilibrium By Miles S. Kimball, Matthew D. Shapiro, Tyler Shumway, and Jing Zhang Published in Journal of Financial Economics Abstract: This paper develops an overlapping generations...
How Individuals Respond to a Liquidity Shock: Evidence from the 2013 Government Shutdown
How Individuals Respond to a Liquidity Shock: Evidence from the 2013 Government Shutdown By Michael Gelman, Shachar Kariv, Matthew D. Shapiro, Dan Silverman, and Steven Tadelis Published in the Journal of Public...
Forward Guidance
Forward Guidance By Iourri Manovski, Marcus Hagedorn, Jinfeng Luo, and Kurt Mitman Published in Journal of Monetary Economics Abstract: We assess the power of forward guidance — promises about future interest rates — as...
On the Heterogeneity in Family Earnings and Income Dyamics in the PSID
On the Heterogeneity in Family Earnings and Income Dynamics in the PSID By Iourii Manovski and Dmytro Hryshko Published in the American Review Abstract: A large body of knowledge on income dynamics in the United States...
Directed and Competitive Search: A Guided Tour
Directed and Competitive Search: A Guided Tour By Philipp Kircher, Ranfall Wright, Benoît Julien and Veronica Guerrieri Published in Journal of Economic Literature Abstract: This essay surveys the literature on directed...
New directions in measuring intergenerational mobility: Introduction
New directions in measuring intergenerational mobility: Introduction By Maia Güell, Sevi Rodríguez Mora, Gary Solon Published in the Economic Journal Abstract: We model household choice of schools under the Boston...
Identifying present bias and time preferences with an application to land-lease-contract data
Identifying present bias and time preferences with an application to land-lease-contract data By Pieter Gautier and Aico van Vuuren Published in the Econometrics Journal Abstract: What can contracts—traded and priced in...
Flow origins of labor force participation fluctuations
Flow origins of labor force participation fluctuations By Mike Elsby, Bart Hobijn, Fatih Karahan, Gizem Koşar and Ayşegül Şahin Publish in American Economic Association (AEA) Papers and Proceedings in 2019 Abstract We...
Working Papers
Summaries
How long has this been going on? Long-term unemployment in the UK
Summary It is more than thirty years since the UK was shaken by the emergence of widespread long-term unemployment (LTU). A raft of economic modelling and policy responses was directed at the problem. But since the mid...
Liquidity, Business Cycles, and Monetary Policy
Summary This paper derives a model economy in which money and other assets carry different liquidity. The aim of the model is to investigate how economic activity and asset prices depend on changes in productivity and...
Firm Dynamics, On-the-Job Search, and Labor Market Fluctuations
Summary In the labour market many things happen simultaneously: a large amount of job seekers find employment while, at the same time, many employed workers lose their jobs (either through voluntary quits or through...
