@techreport{Ebell2006Product,
abstract = {We consider the dynamic relationship between product market entry regulation and equilibrium unemployment. The main theoretical contribution is combining a job matching model with monopolistic competition in the goods market and individual wage bargaining. Product market competition affects unemployment by two channels: the output expansion effect and a countervailing effect due to a hiring externality. Competition is then linked to barriers to entry. We calibrate the model to US data and perform a policy experiment to assess whether the decrease in trend unemployment during the 1980's and 1990's could be attributed to product market deregulation. Our quantitative analysis suggests that under individual bargaining, a decrease of less than two tenths of a percentage point of unemployment rates can be attributed to product market deregulation, a surprisingly small amount.},
address = {Bonn},
author = {Monique Ebell and Christian Haefke},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {E24; J63; L16; O00; 330; product market competition; barriers to entry; wage bargaining; Gesamtwirtschaftliche Produktion; Marktstruktur; Monopolistischer Wettbewerb; Deregulierung; Arbeitsmarkt; Besch\"{a}ftigung; USA},
language = {eng},
number = {1946},
publisher = {IZA},
title = {Product market deregulation and the US employment miracle},
type = {IZA Discussion Papers},
url = {http://hdl.handle.net/10419/33172},
year = {2006}
}
