Essays in empirical and theoretical labor market models
<p>This DPhil thesis is a collection of three theoretical and empirical papers studying labor markets in several advanced economies. Two chapters examine the relationship between the banking sector and the labor market in the US and the UK, while one evaluates a policy that has been proposed t...
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| Format: | Thesis |
| Language: | English |
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2016
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| _version_ | 1817932993452310528 |
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| author | Torracchi, F |
| author2 | Wren-Lewis, S |
| author_facet | Wren-Lewis, S Torracchi, F |
| author_sort | Torracchi, F |
| collection | OXFORD |
| description | <p>This DPhil thesis is a collection of three theoretical and empirical papers studying labor markets in several advanced economies. Two chapters examine the relationship between the banking sector and the labor market in the US and the UK, while one evaluates a policy that has been proposed to help labor markets in the Euro Area adjust to economic shocks. In the first chapter, I develop a New Keynesian DSGE model that integrates a banking sector subject to moral hazard with a standard random search model of the labor market. I estimate the model using US data and study the role of the banking sector in determining labor market fluctuations. In the second chapter, I estimate a structural VAR model of the UK and US economies and identify bank lending shocks using a mix of sign and short-run exclusion restrictions. Consistent with the predictions of the DSGE model, an expansionary loan supply shock decreases job-destruction and increases job-creation, reducing the unemployment rate persistently. Bank lending shocks are also important drivers of labor market fluctuations, particularly during the Great Recession. Lastly, in the third chapter, I calibrate to the Euro Area a currency union DSGE model to evaluate the aggregate properties of European Unemployment Insurance (EUI). I find that EUI cannot contemporaneously stabilize the monetary union and achieve convergence in regional unemployment and inflation rates.</p> |
| first_indexed | 2024-03-06T21:38:17Z |
| format | Thesis |
| id | oxford-uuid:4703d768-3796-42ce-ae6c-75c1f582db67 |
| institution | University of Oxford |
| language | English |
| last_indexed | 2024-12-09T03:46:44Z |
| publishDate | 2016 |
| record_format | dspace |
| spelling | oxford-uuid:4703d768-3796-42ce-ae6c-75c1f582db672024-12-08T09:16:43ZEssays in empirical and theoretical labor market modelsThesishttp://purl.org/coar/resource_type/c_db06uuid:4703d768-3796-42ce-ae6c-75c1f582db67MacroeconomicsFinancial frictionsEconomicsLabor economicsEnglishORA Deposit2016Torracchi, FWren-Lewis, SZanetti, F<p>This DPhil thesis is a collection of three theoretical and empirical papers studying labor markets in several advanced economies. Two chapters examine the relationship between the banking sector and the labor market in the US and the UK, while one evaluates a policy that has been proposed to help labor markets in the Euro Area adjust to economic shocks. In the first chapter, I develop a New Keynesian DSGE model that integrates a banking sector subject to moral hazard with a standard random search model of the labor market. I estimate the model using US data and study the role of the banking sector in determining labor market fluctuations. In the second chapter, I estimate a structural VAR model of the UK and US economies and identify bank lending shocks using a mix of sign and short-run exclusion restrictions. Consistent with the predictions of the DSGE model, an expansionary loan supply shock decreases job-destruction and increases job-creation, reducing the unemployment rate persistently. Bank lending shocks are also important drivers of labor market fluctuations, particularly during the Great Recession. Lastly, in the third chapter, I calibrate to the Euro Area a currency union DSGE model to evaluate the aggregate properties of European Unemployment Insurance (EUI). I find that EUI cannot contemporaneously stabilize the monetary union and achieve convergence in regional unemployment and inflation rates.</p> |
| spellingShingle | Macroeconomics Financial frictions Economics Labor economics Torracchi, F Essays in empirical and theoretical labor market models |
| title | Essays in empirical and theoretical labor market models |
| title_full | Essays in empirical and theoretical labor market models |
| title_fullStr | Essays in empirical and theoretical labor market models |
| title_full_unstemmed | Essays in empirical and theoretical labor market models |
| title_short | Essays in empirical and theoretical labor market models |
| title_sort | essays in empirical and theoretical labor market models |
| topic | Macroeconomics Financial frictions Economics Labor economics |
| work_keys_str_mv | AT torracchif essaysinempiricalandtheoreticallabormarketmodels |