The Network Origins of Aggregate Fluctuations
This paper argues that in the presence of intersectoral input-output linkages, microeconomic idiosyncratic shocks may lead to aggregate fluctuations. We show, as the economy becomes more disaggregated, the rate at which aggregate volatility decays is determined by the structure of the network cap...
| Main Authors: | , , , |
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| Other Authors: | |
| Format: | Article |
| Language: | en_US |
| Published: |
Econometric Society
2012
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| Online Access: | http://hdl.handle.net/1721.1/72578 https://orcid.org/0000-0002-1827-1285 https://orcid.org/0000-0003-0908-7491 |