EconPapers    
Economics at your fingertips  
 

Are Firing Costs Important for Business Cycles? Lessons from Bulgaria (1999–2018)

Aleksandar Vasilev

Managing Global Transitions, 2022, vol. 20, issue 1 (Spring), 3-17

Abstract: We introduce firing costs into a real-business-cycle setup augmented with a detailed government sector. We calibrate the model to Bulgarian data for the period following the introduction of the currency board arrangement (1999–2018). We investigate the importance of such labour market frictions for cyclical fluctuations in Bulgaria. Firing costs decrease employment volatility and pro-cyclicality, where both effects come at odds with data. Besides those, we do not find other important effects of firing costs for business cycle fluctuations in Bulgaria.

Keywords: business cycle fluctuations; labour markets; firing costs; Bulgaria (search for similar items in EconPapers)
JEL-codes: E24 E32 (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.hippocampus.si/ISSN/1854-6935/20.3-17.pdf (application/pdf)

Related works:
Working Paper: Are firing costs important for business cycles? Lessons from Bulgaria (1999-2018) (2021) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mgt:youmgt:v:20:y:2022:i:1:p:3-17

Ordering information: This journal article can be ordered from
http://www.mgt.fm-kp.si

DOI: 10.26493/1854-6935.20.3-17

Access Statistics for this article

Managing Global Transitions is currently edited by Jana Hojnik

More articles in Managing Global Transitions from University of Primorska, Faculty of Management Koper Contact information at EDIRC.
Bibliographic data for series maintained by Alen Jezovnik ().

 
Page updated 2025-03-23
Handle: RePEc:mgt:youmgt:v:20:y:2022:i:1:p:3-17