This article reviews macroeconomic models with heterogeneous households. A key
question for the relevance of these models concerns the degree to which markets are …

The response of aggregate labor supply to various changes in the economic environment is
central to many economic issues, including the optimal design of tax policies. Whereas the …

Wage inequality has been significantly higher in the US than in continental European
countries (CEU) since the 1970s. Moreover, this inequality gap has further widened during …

This chapter assesses how models with search frictions have shaped our understanding of
aggregate labor market outcomes in two contexts: business cycle fluctuations and long-run …

This paper develops a general equilibrium life-cycle model with endogenous labor supply in
both intensive and extensive margins, consumption, saving, and benefit claiming to measure …

Youth bulges in developing countries may carry both a potential for growth via demographic
dividends, and ticking political time bombs, depending on the success of authorities in …

A general equilibrium life-cycle model is developed, in which individuals choose a
sequence of saving and labor supply faced with search frictions and uncertainty in longevity …

We estimate life‐cycle transition probabilities among employment, unemployment and
inactivity for US workers. We assess the importance of each worker flow to account for …

Why has the college wage premium risen rapidly in the United States since the 1980s but
not in European economies such as Germany? We argue that differences in employment …

I develop a general equilibrium life cycle model with an intensive and extensive margin of
labor supply and endogenous human capital accumulation. I use the model to assess the …