Working Paper: NBER ID: w10254
Authors: Lawrence J. Christiano; Martin Eichenbaum; Robert Vigfusson
Abstract: We investigate what happens to hours worked after a positive shock to technology, using the aggregate technology series computed in Basu, Fernald and Kimball (1999). We conclude that hours worked rise after such a shock.
Keywords: productivity; long-run; identifying assumption; Granger causality
JEL Codes: E24; E32; O3
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| hours worked (J22) | technology growth (O49) |
| hours worked drop (J22) | technology shock (BFK model) (C69) |
| hours worked jump (J22) | technology shock (CEV model) (D89) |
| Positive technology shock (O49) | hours worked rise (J29) |
| hours worked rise (J29) | response to positive technology shock (O49) |