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Technology shocks, structural breaks and the effects on the business cycle

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Author Info
Vincenzo Atella (CEIS & Dipartimento SEFEMEQ - Università di Roma "Tor Vergata")
Marco Centoni (Dipartimento SEGES - Università del Molise)
Gianluca Cubadda (Dipartimento SEFEMEQ - Università di Roma "Tor Vergata")

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Abstract

This paper contributes to the literature on the role of technology shocks as source of the business cycle in two ways. First, we document that time-series of US productivity and hours are apparently affected by a structural break in the late 60’s, which is likely due to a major change in the monetary policy. Second, we show that the importance of demand shocks over the business cycle has sharply increased after the break.

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Publisher Info
Paper provided by Tor Vergata University, CEIS in its series CEIS Research Paper with number 105.

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Date of creation: 17 Oct 2007
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Handle: RePEc:rtv:ceisrp:105

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Postal: CEIS - Centre for Economic and International Studies - Faculty of Economics - University of Rome "Tor Vergata" - Via Columbia, 2 00133 Roma
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Postal: CEIS - Centre for Economic and International Studies - Faculty of Economics - University of Rome "Tor Vergata" - Via Columbia, 2 00133 Roma
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Related research
Keywords: Business cycle; technology shocks; structural breaks;

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Find related papers by JEL classification:
C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions
E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

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