The course will be divided into two broad topics. First, income fluctuations and second search. In both, we will study particular papers, but focus on methods that are used more broadly. Both are addressing inequality, broadly speaking, the former using exogenous income shocks and the latter matching frictions. This, and the next mini-semester are summarized in the syllabus.
Income fluctuations:
"Consumption and Risk Sharing over the Life Cycle", (JME 2004) Storesletten Telmer Yaron
"The Age-Time-Cohort Problem and the Identification of Structural Parameters in Life-Cycle Models", (FRBMN WP 707 2016) Schulhofer-Wohl
"An Empirical Investigation of Labor Income Processes", (RED 2009) Guvenen
"HIP, RIP and the Robustness of Empirical Earnings Processes", (UBC WP 2016) Hoffmann
"Consumption Inequality and Partial Insurance", (AER 2008) Blundell Pistaferri Preston
"How Much Consumption Insurance Beyond Self-Insurance?" (AEJ:Macro 2010) Kaplan Violante
Search:
"Job Creation and Job Destruction in the Theory of Unemployment", (REStud 1994) Mortensen Pissarides
"Frictional Wage Dispersion in Search Models: A Quantitative Assessment", (AER 2011) Hornstein Krusell Violante
"Wage Differentials, Employer Size, and Unemployment", (IER 1998) Burdett Mortensen
"Equilibrium Search with Continuous Productivity Dispersion: Theory and Nonparametric Estimation", (IER 2000) Bontemps Robin Van den Berg
"High Wage Workers and High Wage Firms", (Ecta 1999) Abowd Kramarz Margolis
"Firm Wage Differentials and Labor Market Sorting: Reconciling Theory and Evidence", (JPE forthcoming) Lopes de Melo