Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5098838 | Journal of Economic Dynamics and Control | 2011 | 18 Pages |
Abstract
We present evidence about the disappearance of the high-growth recoveries from recessions with intense job creation typically observed until the eighties. This result matches the belief that recessions now have an L-shape as opposed to the old-time recessions that always had a V-shape. We also show how this change in business cycle dynamics can explain part of the Great Moderation. We postulate that these two phenomena may be due to changes in inventory management brought about by improvements in information and communications technologies.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Control and Optimization
Authors
Maximo Camacho, Gabriel Perez Quiros, Hugo Rodriguez Mendizabal,