Guvenen, Fatih (contributor) - 2007
persistence of income shocks. Nevertheless, notice that is estimated to be almost a
unit root under the RIP speci�cation, which …
in section 2.
12Hall (1971) is one of the early papers to notice this problem. For a detailed treatment of the identi … researcher reaches in these
analyses, clearly, depend on the properties of the labor income process used to calibrate these …