Labor Selection, Turnover Costs, and Optimal Monetary Policy

Beitrag in einer Fachzeitschrift


Details zur Publikation

Autor(en): Merkl C, Faia E, Lechthaler W
Zeitschrift: Journal of Money Credit and Banking
Verlag: Wiley-Blackwell
Jahr der Veröffentlichung: 2014
Band: 46
Heftnummer: 1
Seitenbereich: 115-144
ISSN: 0022-2879
Sprache: Englisch


Abstract


We study optimal monetary policy and welfare properties of a dynamic stochastic general equilibrium (DSGE) model with a labor selection process, labor turnover costs, and Nash bargained wages. We show that our model implies inefficiencies that cannot be offset in a standard wage bargaining regime. We also show that the inefficiencies rise with the magnitude of firing costs. As a result, in the optimal Ramsey plan, the optimal inflation volatility deviates from zero and is an increasing function of firing costs.



FAU-Autoren / FAU-Herausgeber

Merkl, Christian Prof. Dr.
Lehrstuhl für Volkswirtschaftslehre, insbesondere Makroökonomik


Zitierweisen

APA:
Merkl, C., Faia, E., & Lechthaler, W. (2014). Labor Selection, Turnover Costs, and Optimal Monetary Policy. Journal of Money Credit and Banking, 46(1), 115-144. https://dx.doi.org/10.1111/jmcb.12099

MLA:
Merkl, Christian, Ester Faia, and Wolfgang Lechthaler. "Labor Selection, Turnover Costs, and Optimal Monetary Policy." Journal of Money Credit and Banking 46.1 (2014): 115-144.

BibTeX: 

Zuletzt aktualisiert 2018-08-08 um 17:41