A Medium-Scale DSGE Model with Labour Market Frictions

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14560%2F17%3A00102069" target="_blank" >RIV/00216224:14560/17:00102069 - isvavai.cz</a>

Výsledek na webu

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DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

A Medium-Scale DSGE Model with Labour Market Frictions

Popis výsledku v původním jazyce

The aim of our research is to find the most appropriate approach to the labour market within a DSGE model estimated on the Czech Republic's data. We use slightly modified medium-scale small open economy model originally proposed by Sheen and Wang [10]. This model incorporates a standard set of rigidities such as investment adjustment cost, habit formation, external risk premium, and incomplete exchange rate pass-through. The model allows for two approaches to the labour market - the real wage rigidity specified in spirit of the search and matching models, and the nominal wage rigidity a la Calvo wage setting. The model is estimated on a set of fourteen observable variables, including the unemployment rate. Our research is in the early stage, however, preliminary results suggest that the real wage rigidity is more appropriate modelling approach. Empirical performance of our model is illustrated by means of the variance decomposition and historical shock decomposition of selected observable variables.

Název v anglickém jazyce

A Medium-Scale DSGE Model with Labour Market Frictions

Popis výsledku anglicky

The aim of our research is to find the most appropriate approach to the labour market within a DSGE model estimated on the Czech Republic's data. We use slightly modified medium-scale small open economy model originally proposed by Sheen and Wang [10]. This model incorporates a standard set of rigidities such as investment adjustment cost, habit formation, external risk premium, and incomplete exchange rate pass-through. The model allows for two approaches to the labour market - the real wage rigidity specified in spirit of the search and matching models, and the nominal wage rigidity a la Calvo wage setting. The model is estimated on a set of fourteen observable variables, including the unemployment rate. Our research is in the early stage, however, preliminary results suggest that the real wage rigidity is more appropriate modelling approach. Empirical performance of our model is illustrated by means of the variance decomposition and historical shock decomposition of selected observable variables.

Druh

D - Stať ve sborníku

CEP obor

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OECD FORD obor

50200 - Economics and Business

Projekt

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Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2017

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název statě ve sborníku

The 35th International Conference Mathematical Methods in Economics, Conference Proceedings

ISBN

9788074356780

ISSN

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e-ISSN

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Počet stran výsledku

6

Strana od-do

42-47

Název nakladatele

Gaudeamus, University of Hradec Králové

Místo vydání

Hradec Králové

Místo konání akce

Hradec Králové

Datum konání akce

1. 1. 2017

Typ akce podle státní příslušnosti

EUR - Evropská akce

Kód UT WoS článku

000427151400008