Estimating a Search and Matching Model of the Aggregate Labor Market in Japan
Abstract
This paper studies how well a search and matching model can describe aggregate Japanese labor market dynamics in a full information setting. We develop a discrete- time search and matching model with productivity and separation shocks and use it as a data-generating process for our empirical analysis. Using Bayesian methods, we estimate the model for data on unemployment and vacancy postings in Japan. We Â…nd that the model is successful in matching the volatility in unemployment and vacancies while it does not match the volatility of output and wages. We also Â…nd that both productivity and separation shocks contribute to movements in unemployment and vacancies, but productivity shocks more so.Download Info
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Paper provided by CIRJE, Faculty of Economics, University of Tokyo in its series CIRJE F-Series with number CIRJE-F-850.Length: 22 pages
Date of creation: Apr 2012
Date of revision:
Handle: RePEc:tky:fseres:2012cf850
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Keywords:This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-05-02 (All new papers)
- NEP-DGE-2012-05-02 (Dynamic General Equilibrium)
- NEP-LAB-2012-05-02 (Labour Economics)
References
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Citations
Blog mentions
As found by EconAcademics.org, the blog aggregator for Economics research:- Estimating a Search and Matching Model of the Aggregate Labor Market in Japan
by Christian Zimmermann in NEP-DGE blog on 2012-05-04 21:26:06
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