This study uses the STAGE-LAB Computable General Equilibrium Model to analyze the potential impact of the trade shock associated with the Great Recession on labor and household income in Brazil. Our model assumes that high skilled labor is fully employed, while there is oversupply of labor in...

We show that exposure to country specific shocks has a positive and significant impact on GDP volatility. In particular, we find that the degree to which the cycles of different trading partners are correlated is more important in explaining exporters’ GDP volatility than the volatility of...

Using a dataset of 138 countries over a period from 1966 to 2004, this paper analyses the relevance of country specific shocks for income volatility in open economies. We show that exposure to country specific shocks has a positive and significant impact on GDP volatility. In particular, we find...