Matching with Precautionary Savings

Per Krusell

No 975, 2007 Meeting Papers from Society for Economic Dynamics

Abstract: We combine two setups: Bewley-Huggett-Aiyagari and Mortensen-Pissarides. Wages are given by wage bargaining, and wages will depend positively on wealth since rich workers have a better outside option. We also study the model with aggregate risk.

Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:red:sed007:975

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