elasticity. Recently, a rapidly growing volume of microeconomics studies have found empirical support for Robinson's suggestion … wage elasticity of labor supply for firms may amplify and/or cause recessions. Implementing policies to reverse a decreased … elasticity may be an appropriate response to a recession. Empirical evidence from recessions is found to be consistent with …

A body of recent empirical work has found strong evidence that the labor elasticity of supply to the firm is finite … inter-war period, we are able to estimate the elasticity of supply to the firm during several recessions and expansions. Our … analysis suggests that the elasticity is indeed lower during recessions, consistent with the comparative statics from the …