The main goal of this paper is to provide an integrated survey of the literature devoted to
identifying the drivers of structural change, broadly defined as the process of reallocation of …

Changes in government spending often lead to significant shifts in demand across sectors.
This paper analyzes the effects of sector-specific changes in government spending in a two …

We study the effects of oil price shocks on the creation and destruction of US manufacturing
jobs from 1972 to 1988. Oil shocks account for 20–25 percent of the variability in …

Two modifications are introduced into the standard real-business-cycle model: habit
preferences and a two-sector technology with limited intersectoral factor mobility. The model …

In recent decades, growth of world trade has been driven largely by rapid growth of trade in
intermediate inputs. Much of input trade involves multinational firms locating input …

This paper investigates the consequences of an exogenous increase in US government
purchases. We find that in response to such a shock, employment, output, and …

Aggregate productivity and aggregate technology are meaningful but distinct concepts. We
show that a slightly modified Solow productivity residual measures changes in economic …

Productivity is procyclical. That is, whether measured as labor productivity or total factor
productivity, productivity rises in booms and falls in recessions. Recent macroeconomic …

This paper estimates the private and government sector employment effects of American
Recovery and Reinvestment Act (ARRA) spending via an instrumental variables strategy …

We develop a two-sector search-matching model of the labor market with imperfect mobility
of workers, augmented to incorporate a housing market and a frictional goods market …