Working Paper: CEPR ID: DP5459
Authors: Eran Yashiv
Abstract: This paper surveys the use of search and matching models in macroeconomics. It outlines the standard model, discusses its extensions, presents alternative formulations, considers the empirical evidence, and studies applications to macroeconomic questions such as business cycles, growth, and policy. Particular attention is given to the ability of the model to account for labour market dynamics and for cyclical fluctuations in aggregate economic activity
Keywords: business cycles; growth; macroeconomics; matching; policy; search; worker flows
JEL Codes: E24; E32; E52; J23; J31; J41; J63; J64; J65
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| increased search intensity (D83) | higher job finding rates (J68) |
| search frictions (F12) | aggregate labor market outcomes (E24) |
| job matches (C78) | wage outcomes (J31) |
| labor market frictions (J29) | unemployment dynamics (J64) |
| job creation (J68) | economic shocks (F69) |