IDEAS home Printed from https://ideas.repec.org/a/bla/scotjp/v62y2015i3p227-263.html

Technology News and the US Economy: Time Variation and Structural Changes

Author

Listed:
  • Tim Oliver Berg

Abstract

type="main" xml:id="sjpe12073-abs-0001"> This article examines the time-varying impact of technology news shocks on the US economy during the Post-World War II period using a time-varying parameter vector autoregression. The identification restrictions on the sign of the contemporaneous responses of observable variables are derived from a dynamic stochastic general equilibrium model and robust to parameter uncertainty. I find that the variance of news shocks has decreased over time, contributing to the Great Moderation in real activity and inflation. The importance of news shocks is, however, modest compared to technology surprise and non-technology shocks. Finally, I obtain evidence in favor of a substantial decline in wage rigidity, while the transmission to other variables has been stable.

Suggested Citation

  • Tim Oliver Berg, 2015. "Technology News and the US Economy: Time Variation and Structural Changes," Scottish Journal of Political Economy, Scottish Economic Society, vol. 62(3), pages 227-263, July.
    • Handle: RePEc:bla:scotjp:v:62:y:2015:i:3:p:227-263
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/sjpe.2015.62.issue-3
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or

    for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Berg, Tim O. & Henzel, Steffen R., 2015. "Point and density forecasts for the euro area using Bayesian VARs," International Journal of Forecasting, Elsevier, vol. 31(4), pages 1067-1095.

    More about this item

    JEL classification:

    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • C11 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Bayesian Analysis: General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:scotjp:v:62:y:2015:i:3:p:227-263. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/sesssea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.