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Cyclical movements along the labor supply function

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  • Robert E. Hall

Abstract

A consensus in macroeconomics holds that the observed higher-frequency movements in employment and hours of work are movements along a labor-supply function caused by shifts of the labor demand function. Recent theoretical thinking has extended this view to include fluctuations in unemployment, so that macroeconomists can speak coherently of movements along an unemployment function caused by shifts in labor demand.

Suggested Citation

  • Robert E. Hall, 2007. "Cyclical movements along the labor supply function," Conference Series ; [Proceedings], Federal Reserve Bank of Boston, vol. 52.
    • Handle: RePEc:fip:fedbcp:y:2007:n:52
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    Keywords

    Labor supply; Wages;

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