Lecture 7 12

Lecture 7 12 - Simple Dynamic Model of Unemployment Hence,...

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Simple Dynamic Model of Unemployment fu u s b u u d b u f d u s b u + = Δ + + = Δ ) 1 )( ( ) ( ) ( ) 1 ( Simplifying yields: Hence, by substituting into (1) In the steady state, change in unemployment is zero, so
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This note was uploaded on 04/03/2011 for the course ECON 2021 taught by Professor Mok during the Spring '11 term at HKU.

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