Does the Business Cycle Matter for France? A Business Cycle Accounting Approach

Détails

ID Serval
serval:BIB_B0ED2AEC677C
Type
Article: article d'un périodique ou d'un magazine.
Collection
Publications
Institution
Titre
Does the Business Cycle Matter for France? A Business Cycle Accounting Approach
Périodique
Annals of Economics and Statistics
Auteur⸱e⸱s
Amand M.
ISSN
2115-4430
Statut éditorial
Publié
Date de publication
2015
Peer-reviewed
Oui
Numéro
119/120
Pages
321-344
Langue
anglais
Résumé
This paper applies the business cycle accounting procedure to French 1978-2007 data. The main source of business cycle fluctuations in France is shocks to TFP, not changes in the labor wedge. More importantly, the French business cycle is shown to be the mere residual of two counterbalancing effects: a structurally worsening labor wedge and a structurally improving efficiency wedge that (almost) cancel each other out. The 30-year drop in per-capita hours worked is mainly explained by a worsening labor wedge, not by TFP and only marginally by the investment wedge. For future theoretical work concentrating on France, modeling these long-run phenomena is of more importance and promise that modeling the structural sources of fluctuations. A model consistent with these results based on increasing union power and increasing competition on the goods market is introduced.
Mots-clé
Business Cycle Accounting, France, Eurosclerosis
Création de la notice
21/06/2017 14:26
Dernière modification de la notice
20/08/2019 15:19
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