**NEW** "The Dark Side of HANK", in progress (with C. Cantore and A. Guerriero)
Abstract.
**NEW** "The U-Shaped Growth Equation", In progress (with M. D'Amico)
Abstract. We present empirical evidence supporting a non-monotonic relationship between employment and productivity growth, using data from the US. We then study the theoretical implications of such U-shaped relation in a “Keynesian Growth” framework with heterogeneous innovation, which reconciles the market-size and opportunity-cost views of technological change. We show that a U-shaped growth equation can rationalize the existence of locally determinate equilibria with unemployment and low growth in a liquidity trap. We also show that growth policy incentivising exploratory research activities leading to radical innovation can both prevent the exposure to unemployment equilibria and help the economy escape them.