This paper proposes that idiosyncratic firm‐level shocks can explain an important part of
aggregate movements and provide a microfoundation for aggregate shocks. Existing …

This paper presents a multisector dynamic general equilibrium model of business cycles
with a distinctive feature: aggregate fluctuations are driven by independent sectoral shocks …

The traditional argument against the relevance of sector-specific shocks for the aggregate
phenomenon of business cycles invokes the law of large numbers: positive shocks in some …

This paper develops a method for analysing the dynamics of large cross-sections based on
a factor analytic model. We use “law of large numbers” arguments to show that the number …

There has been, in recent years, a renewed interest in and a growing recognition of the role
played by uncertainty shocks in driving fluctuations in the economy and in asset markets. We …

This thesis analyzes and models the flow of intermediate inputs across sectors by adopting a
network perspective on sectoral interactions. I apply these tools to show how fluctuations in …

We quantify the importance of heterogeneity for monetary policy using a new heterogeneous-
agent VAR (HAVAR) model that integrates national monetary/financial markets with regional …

Short-run interindustry comovement may be due either to common shocks or to
complementarities that propagate shocks across sectors. This paper assesses the …

Are uncertainty shocks an important source of post WWII business cycle fluctuations? The
evidence we present in this paper suggests they are. Using both the traditional measure of …

This paper investigates trend and cycle dynamics in per capita income for the major US
regions during the 1956–1995 period. Cointegration and serial correlation common features …