Search in the Labor Market under Imperfectly Insurable Income Risk / / Mauro Roca

• Autore: Roca Mauro
• Pubblicazione: Washington, D.C. : , : International Monetary Fund, , 2009
• Edizione: 1st ed.
• Descrizione fisica: 38 p
• Disciplina: 331.1
• Soggetto topico: Unemployment; Labor market; Unemployment insurance; Insurance; Labor; Macroeconomics; Unemployment: Models, Duration, Incidence, and Job Search; Macroeconomics: Consumption; Saving; Wealth; Wages, Compensation, and Labor Costs: General; Insurance Companies; Actuarial Studies; Demand and Supply of Labor: General; Labour; income economics; Insurance & actuarial studies; Consumption; Wages; Labor markets; Economics
• Soggetto geografico: United States
• Note generali: "September 2009."
• Nota di contenuto: Cover Page -- Title Page -- Copyright Page -- Contents -- I. Introduction -- II. The Model -- A. Labor Market -- B. Consumers -- C. Firms -- 1. Wage determination -- D. Government -- E. Stationary Equilibrium -- III. Solution method -- A. Fast-turnover limit -- B. Approximation -- 1. Steady state -- 2. Approximation around steady state -- IV. Quantitative analysis -- A. Calibration -- B. The effects of idiosyncratic risk -- 1. Effects of Idiosyncratic Risk on the Labor Market -- 1. Approximation to Consumption Functions -- 2. Effects of Idiosyncratic Risk on Consumption and Capital -- C. Optimal replacement rate -- 2. Variations in Welfare -- 3. Effects of Unemployment Insurance -- 4. Effects of Idiosyncratic Risk -- V. Conclusions -- I. Derivation of the solution to the wage bargaining -- II. Fast-turnover limit -- A. Derivation of the Euler condition -- B. Derivation of the wage equation -- III. Approximation around the steady state -- A. Response to individual asset holdings -- B. Response to the length of the time interval Δ -- References -- Footnotes.
• Sommario/riassunto: This paper develops a general equilibrium model with unemployment and noncooperative wage determination to analyze the importance of incomplete markets when risk-averse agents are subject to idiosyncratic employment shocks. A version of the model calibrated to the U.S. shows that market incompleteness affects individual behavior and aggregate conditions: it reduces wages and unemployment but increases vacancies. Additionally, the model explains the average level of unemployment insurance observed in the U.S. A key mechanism is the joint influence of imperfect insurance and risk aversion in the wage bargaining. The paper also proposes a novel solution to solve this heterogeneous-agent model.
• Titolo autorizzato: Search in the Labor Market under Imperfectly Insurable Income Risk
• ISBN: 1-4623-5879-9; 1-4527-3190-X; 9786612843983; 1-282-84398-2; 1-4518-7335-2
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Lingua di pubblicazione: Inglese
• Record Nr.: 9910817623603321
• Lo trovi qui: Univ. Federico II
• Serie: IMF Working Papers; Working Paper ; ; No. 2009/188