We document sectoral differences in changes in output, hours worked, prices and nominal wages in the US during the Great Depression. We explore whether contractionary monetary shocks combined with different degrees of nominal wage frictions across sectors are consistent with both sectoral as well as aggregate facts. To do so, we construct a two-sector model where goods from each sector are used...

This paper uses a multisector sticky price model with cash-in-advance constraint to examine the implications of sectoral nominal price rigidities for the cyclical behavior of sectoral and aggregate movements in prices and output. The data suggest that correlations between sectoral output and price changes are substantially lower than would be implied by a flexible price model with sectoral tech...

This paper studies the effect of differences in the rate of technological progress between sectors on the relative sizes of those sectors in terms of revenues. There are two sectors: a stagnant sector, where productivity does not change over time, and a progressive sector, where costs decrease over time due to exogenous technological progress. We consider a conjectural variation approach to com...

The issue of integrated care and inter-sectoral collaboration is on the health policy agenda in many countries. Yet, there is limited knowledge about the effects of the different policy instruments used to achieve this. This paper studies co-location as a driver for cross-sectoral collaboration with general practitioners (GPs) acting as coordinators in a municipal health centre. The purpose of ...

Heterogeneity is ubiquitous in firm-level and sectoral data. Equilibrium models, however, typically assume a representative firm, as in Andrew B. Abel and Olivier J. Blanchard (1983). The representative firm paradigm leaves no role for the distribution of capital. We model capital reallocation in a general equilibrium model with two sectors. Capital adjustment costs capture illiquidity in our m...

The Effect of Firm-Level Contracts on the Structure of Wages: Evidence from Matched Employer-Employee Data In Spain, as in several other European countries, sectoral bargaining agreements are automatically extended to cover all firms in an industry. Employers and employees can also negotiate firm-specific contracts. We use a large matched employer-employee data set to study the effects of firm-...

Unlike existing studies focused on the causal relationship between electricity consumption and economic growth at the macro level, this paper uses monthly data from January 2006 to December 2015 and applies the correlation coefficient, as well as Kullback-Leibler (KL) divergence, to study the time difference relationship between sectoral electricity consumption and economic growth. The empirica...

Many countries in 1995-2008 have experienced what we call the “valueadded erosion”, which describes the phenomenon of the decline in the sectoral shares of domestic value-added in a country’s exports as the country becomes more integrated into the Global Value Chains (GVCs). We argue that the decline of domestic value added share in a country’s exports is likely to be caused by the expansion of...