Emerging Market Business Cycles: The Role of Labor Market Frictions
构建了一个包含搜索匹配摩擦和逆周期利率冲击的小型开放经济模型，解释了新兴经济体消费和实际工资波动大于产出、经常账户强逆周期的特征。
Emerging economies are characterized by higher variability of consumption and real wages relative to output and a strongly countercyclical current account. A small open economy model with search‐matching frictions and countercyclical interest rate shocks can account for these regularities. Search‐matching frictions affect permanent income, and increase future employment uncertainty, heightening workers' incentives to save and generating a greater response of consumption and the current account. The greater consumption response feeds into larger fluctuations in workers' willingness to work, while interest rate shocks lead to variations in firms' willingness to hire; both of these outcomes contribute to highly variable wages.