Equilibrium Unemployment Dynamics
AbstractThe global dynamics of Pissarides' (1990) equilibrium model of aggregate unemployment are studied in the case of increasing returns to scale in production and constant returns to scale in the matching process. An equilibrium is a dynamic path for the aggregate number of matches generated by best-response search and recruiting investment decisions under rational expectations. Necessary and sufficient conditions for multiple equilibria, including limit cycles, are derived, and illustrative examples are computed. The application of saddle-loop bifurcation theory is a novel feature of the analysis. Since one equilibrium Pareto dominates all the others, a macroeconomic coordination problem exists. Copyright 1999 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.
Download InfoTo our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Bibliographic InfoArticle provided by Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association in its journal International Economic Review.
Volume (Year): 40 (1999)
Issue (Month): 4 (November)
Contact details of provider:
Postal: 160 McNeil Building, 3718 Locust Walk, Philadelphia, PA 19104-6297
Phone: (215) 898-8487
Fax: (215) 573-2057
Web page: http://www.econ.upenn.edu/ier
More information through EDIRC
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Melvyn G. Coles & Abhinay Muthoo, 2000.
"Bargaining Equilibrium in a Non-Stationary Environment,"
Econometric Society World Congress 2000 Contributed Papers
0472, Econometric Society.
- Melvyn G. Coles & Abhinay Muthoo, 2000. "Bargaining equilibrium in a non-stationary environment," Economics Discussion Papers, University of Essex, Department of Economics 505, University of Essex, Department of Economics.
- Mortensen, Dale T., 2009.
Journal of Economic Theory,
Elsevier, vol. 144(6), pages 2336-2353, November.
- Dale T. Mortensen, 2007. "Island Matching," 2007 Meeting Papers, Society for Economic Dynamics 142, Society for Economic Dynamics.
- Dale T. Mortensen, 2007. "Island Matching," NBER Working Papers 13287, National Bureau of Economic Research, Inc.
- Higashi, Youichiro, 2002. "Firm specific human capital and unemployment in a growing economy," Japan and the World Economy, Elsevier, Elsevier, vol. 14(1), pages 35-44, January.
- Julie Beugnot & Mabel Tidball, 2009.
"A Multiple Equilibria Model with Intrafirm Bargaining and Matching Frictions,"
Working Papers, LAMETA, Universtiy of Montpellier
09-11, LAMETA, Universtiy of Montpellier, revised Oct 2009.
- Beugnot, Julie & Tidball, Mabel, 2010. "Multiple equilibria model with intrafirm bargaining and matching frictions," Labour Economics, Elsevier, vol. 17(5), pages 810-822, October.
- Sniekers, F.J.T., 2013. "Endogenous Beveridge cycles and the volatility of unemployment," CeNDEF Working Papers 13-12, Universiteit van Amsterdam, Center for Nonlinear Dynamics in Economics and Finance.
- Godfrey Keller & Kevin Roberts & Margaret Stevens, 2007. "Unemployment, Participation and Market Size," Economics Series Working Papers 362, University of Oxford, Department of Economics.
- Ortigueira, Salvador, 2006. "Skills, search and the persistence of high unemployment," Journal of Monetary Economics, Elsevier, Elsevier, vol. 53(8), pages 2165-2178, November.
- Neugart, Michael, 2004. "Complicated dynamics in a flow model of the labor market," Journal of Economic Behavior & Organization, Elsevier, vol. 53(2), pages 193-213, February.
- Tripier, Fabien, 2011.
"The efficiency of training and hiring with intrafirm bargaining,"
Elsevier, vol. 18(4), pages 527-538, August.
- Fabien Tripier, 2010. "The Efficiency of Training and Hiring with Intra firm Bargaining," Working Papers hal-00449625, HAL.
- Ennis, H.M.Huberto M., 2004.
"Macroeconomic fluctuations and bargaining,"
Journal of Economic Theory,
Elsevier, vol. 115(2), pages 322-340, April.
- Lect. Ph.D Bocean Claudiu George & Assist. Ph.D Student Meghisan Georgeta-Madalina, 2009. "Trends On The Labor Market Equilibrium," Revista Tinerilor Economisti (The Young Economists Journal), University of Craiova, Faculty of Economics and Business Administration, University of Craiova, Faculty of Economics and Business Administration, vol. 1(13S), pages 77-84, November.
- Ortigueira, Salvador, 2001. "Unemployment Benefits and the Persistence of European Unemployment," Working Papers 01-16, Cornell University, Center for Analytic Economics.
- Sandra Silva & Jorge Valente & Aurora Teixeira, 2012.
"An evolutionary model of industry dynamics and firmsâ€™ institutional behavior with job search, bargaining and matching,"
Journal of Economic Interaction and Coordination,
Springer, vol. 7(1), pages 23-61, May.
- Sandra T. Silva & Jorge M. S. Valente & Aurora A. C. Teixeira, 2007. "An evolutionary model of industry dynamics and firms' institutional behavior with job search, bargaining and matching," FEP Working Papers 241, Universidade do Porto, Faculdade de Economia do Porto.
- Richard Rogerson & Robert Shimer & Randall Wright, 2004. "Search-Theoretic Models of the Labor Market-A Survey," NBER Working Papers 10655, National Bureau of Economic Research, Inc.
- Bjornstad, Roger, 2006. "Learned helplessness, discouraged workers, and multiple unemployment equilibria," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(3), pages 458-475, June.
- Elena Olmedo, 2014. "Forecasting Spanish Unemployment Using Near Neighbour and Neural Net Techniques," Computational Economics, Society for Computational Economics, Society for Computational Economics, vol. 43(2), pages 183-197, February.
- M. Scarlato & M. Cenci, 2004. "Innovazione tecnologica e offerta di skills:una simulazione," Computational Economics, EconWPA 0401003, EconWPA.
- Roger BjÃ¸rnstad, 2001. "Learned Helplessness, Discouraged Workers, and Multiple Unemployment Equilibria in a Search Model," Discussion Papers, Research Department of Statistics Norway 303, Research Department of Statistics Norway.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or ().
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.