This setting lets you change the way you view articles. You can choose to have articles open in a dialog window, a new tab, or directly in the same window.
Open in Dialog
Open in New Tab
Open in same window
Open in New Tab
Open in same window
American Economic Journal: Macroeconomics: Vol. 4 No. 4 (October 2012)
AEJ: Macro Volume. 4, Issue 4 | 
Previous ArticleNext Article
Sign up for Email Alerts Follow us on Twitter Subscription Information
(Institutional Administrator Access)
AEJ: Macro Forthcoming Articles
Full-text Article
Download Data Set (44.47 KB)
View Comments on This Article (0) | Login to post a comment
Previous ArticleNext Article
Expand
Quick Tools:
Print Article Summary Email Link to this Article Export CitationSign up for Email Alerts Follow us on Twitter Subscription Information
(Institutional Administrator Access)
Explore:
AEJ: Macro Forthcoming Articles
Exogenous versus Endogenous Separation
Article Citation
Fujita, Shigeru, and
Garey Ramey. 2012. "Exogenous versus Endogenous Separation."
American Economic Journal: Macroeconomics,
4(4): 68-93.
DOI: 10.1257/mac.4.4.68
DOI: 10.1257/mac.4.4.68
Abstract
This paper assesses how various approaches to modeling the separation
margin affect the quantitative ability of the Mortensen-Pissarides labor matching model. The model with a constant separation rate fails to produce realistic volatility and productivity responsiveness of the separation rate and worker flows. The specification with endogenous separation succeeds along these dimensions. Allowing for on-the-job search enables the model to replicate the Beveridge curve. All specifications, however, fail to generate sufficient volatility of the job finding rate. While adopting the Hagedorn-Manovskii calibration remedies this problem, the volume of job-to-job transitions in the on-the-job search specification becomes essentially zero.
(JEL E24, J41, J64)
Article Full-Text Access
Full-text Article
Additional Materials
Download Data Set (44.47 KB)
Authors
Fujita, Shigeru (Federal Reserve Bank of Philadelphia)
Ramey, Garey (U CA, San Diego)
Ramey, Garey (U CA, San Diego)
JEL Classifications
E24: Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital
J41: Labor Contracts
J64: Unemployment: Models, Duration, Incidence, and Job Search
J41: Labor Contracts
J64: Unemployment: Models, Duration, Incidence, and Job Search
Comments
View Comments on This Article (0) | Login to post a comment
