Search Results
Discussion Paper
The cyclical behavior of job creation and job destruction: a sectoral model
Three key features of the employment process in the U.S. economy are that job creation is procyclical, job destruction is countercyclical, and job creation is less volatile than job destruction. These features are also found at the sectoral (goods and services) level. The paper develops, calibrates, and simulates a two sector general equilibrium model including both aggregate and sectoral shocks. The behavior of the model economy mimics the job creation and destruction facts. Sectoral shocks play a significant role in determining the aggregate level of nonemployment.
Journal Article
Monetary policy and racial unemployment rates
When the Federal Open Market Committee began raising interest rates in June 1999 to forestall inflationary pressures, concern mounted that monetary policy moves might slow the pace of economic growth, undoing the employment gains minorities and other disadvantaged groups made during the 1990s. Implicit in such concern is the idea that these groups will be disproportionately affected by an economic slowdown. ; To explore this issue, this article analyzes the effect of exogenous movements in monetary policy and other macroeconomic variables on the overall and black unemployment rates. These ...
Working Paper
Employee turnover and regional wage differentials
Journal Article
Trade and wages: choosing among alternative explanations
North-South trade competition cannot be an explanation for the adverse trend for U.S. unskilled wages. If wage competition in these industries from abroad pushed down wages, then prices of these goods should also have gone down, and they have not. Also VERs and anti-dumping measures have protected exactly the wage earners supposedly threatened.
Journal Article
Job shock: when lightning threatens again
Journal Article
Has job security in the U.S. declined?
Working Paper
Valuable jobs and uncertainty
Little attention has been given to the link between variation in a firm's circumstances and the resolution of agency problems that pervade the relationship between a firm and its employees. We construct stochastic versions of standard efficiency-wage and performance-bonding models and find that this connection has important and apparently inescapable consequences. Compensation levels depend on characteristics of the firm. The possibility of the firm's exit drive an important counterfactual prediction in both classes of model: compensation rises in dying firms. This result illustrates the need ...
Journal Article
Keep your résumé current
Workers are switching jobs more often than in the past. Among the reasons are changes in technology, changes in demographics and changes in such institutions as unions and international trade.