An analysis of the performance of GDP, employment and other
labor market variables following the troughs in postwar U.S. business
cycles points to much slower recoveries in the three most recent
episodes, but does not reveal any significant change over time in the
relation between GDP and employment. This leads us to characterize
the last three episodes as slow recoveries, as opposed to jobless recoveries.
We use the estimated New Keynesian model in Galí-Smets-
Wouters (2011) to provide a ...
An analysis of the performance of GDP, employment and other
labor market variables following the troughs in postwar U.S. business
cycles points to much slower recoveries in the three most recent
episodes, but does not reveal any significant change over time in the
relation between GDP and employment. This leads us to characterize
the last three episodes as slow recoveries, as opposed to jobless recoveries.
We use the estimated New Keynesian model in Galí-Smets-
Wouters (2011) to provide a structural interpretation for the slower
recoveries since the early nineties.
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