Use the Mortensen‐Pissarides model to explain the consequences of an increase in the separation rate for unemployment and labor market tightness and describe the dynamics of the economy following an increase in the job separation rate.

Use the Mortensen‐Pissarides model to explain the consequences of an increase in the separation rate for unemployment and labor market tightness and describe the dynamics of the economy following an increase in the job separation rate.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter12: Business Cycles And Unemployment

Section: Chapter Questions

Problem 8SQP

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