In this paper an original estimator of long memory is considered. It is based on the scaling function directly extracted from multifractal formalism. Monte Carlo simulations show that the scaling function gives interesting results, notably in terms of confidence intervals, which are smaller than...

When an household needs to change its home, two transactions have to be done: buy a new house and sell the preceding one. To do so, the household can either adopt a sequential search strategy or a simultaneous search strategy. In sequential strategies, it first buys (or sells) and only after...

We herein advance a contribution to the theoretical literature on financial frictions and show the significance of the matching mechanism in explaining the countercyclical behavior of interest rate spreads. We demonstrate that when matching friction is associated with a Nash bargaining solution,...

This paper analyzes the business cycle behavior of the corporate debt structure and its interaction with economic recovery. The debt structure is measured as the share of bonds in the total credit to non-financial corporations for a quarterly panel of twenty five economies over the period...

The present paper contributes to the body of knowledge on search frictions in credit markets by demonstrating their ability to explain why the net interest margins of banks behave countercyclically. During periods of expansion, a fall in the net interest margin proceeds from two mechanisms: (i)...

This article is devoted to the study of search frictions in financial markets where agents invest in costly search activities to make financial transactions. Search frictions are important to explain the existence of financial relationships and to understand the functioning of over-the-counter...

La crise récente a souligné la nécessité de mieux comprendre les liens entre les marchés financiers et les cycles économiques. Cette Lettre présente les résultats d’une recherche sur le rôle de la composition de la dette des entreprises. L’étude de 93 épisodes de récession dans...

This article is devoted to the cyclical properties of the labor market search model with exogenous job destruction. Its internal propagation mechanism of shocks has been criticized for requiring too strong labor market constraints. Here, its predictions are compared according to the employment...

A “lost decade” refers to an extended period of low or negative growth triggered by an economic crisis and that could have been avoided by the use of efficient crisis policies. The risk to the world’s developed economies of a lost decade was highlighted early on in the 2007-2008 crisis....