Hours and Employment Variation in Business Cycle Theory
AbstractPrevious business cycle models have made the assumption that all the variation in the labor input is either due to changes in hours per worker or changes in number of workers, but not both. In this paper, both vary. We think this is a better model for estimating the contribution of Solow technology shocks to aggregate fluctuations. We find that about 70 percent of the variance of U.S. postwar cyclical fluctuations is induced by variations in the Solow technology parameter.
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Bibliographic InfoArticle provided by Springer in its journal Economic Theory.
Volume (Year): 1 (1991)
Issue (Month): 1 (January)
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Web page: http://link.springer.de/link/service/journals/00199/index.htm
Other versions of this item:
- Finn E. Kydland & Edward C. Prescott, 1989. "Hours and employment variation in business cycle theory," Discussion Paper / Institute for Empirical Macroeconomics 17, Federal Reserve Bank of Minneapolis.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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This item has more than 25 citations. To prevent cluttering this page, these citations are listed on a separate page. reading lists or Wikipedia pages:
- Wikipedia:Articles for deletion/Cycle theory in Wikipedia (English)
- Wikipedia:Articles for deletion/Log/2006 April 25 in Wikipedia (English)
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