Essays on the Macroeconomics of Labor Markets

Abstract

In this thesis, I aim to deepen our understanding of the functioning of the labor market. I study various frictions emerging in the market for labor and analyze how these imperfections shape the macro-economy. In Chapter 1, I put particular emphasis is on how changes in the composition of labor supply shape the characteristics of firms in the economy. <br /> Chapter 2, which a joint work with Philip Jung and Keith Kuester, examines how to use labor-market policy instruments and international transfers to stabilize business cycle fluctuations within a federation of countries. Finally, in Chapter 3, jointly with Petr Sedláček, we investigate how aggregate demand can shape long-run economic growth.