• Abstract
  • Non-technical summary
  • 1 Introduction
  • 2 Model
  • 2.1 Match productivity
  • 2.2 Matching and job flows
  • 2.3 Value functions and match surplus
  • 2.4 Wage determination v2.5 Job creation and destruction
  • 2.6 Aggregate output
  • 3 Calibration
  • 4 Equilibrium responses to technology shocks
  • 4.1 Responsiveness of new and old matches
  • 14.2 Average productivity difference
  • 5 Introducing nominal rigidities
  • 6 Concluding remarks
  • References
  • Appendices
  • European Central Bank Working Paper Series