Abstract

"What are the sources of aggregate fluctuations? A recent branch of macroeconomic literature has highlighted the importance of idiosyncratic shocks as a novel source of aggregate volatility. Under determined conditions, sector-specific shocks can propagate through the production network contributing to aggregate output volatility. This MPT expands this literature by empirically assessing the relevance of shocks propagation and amplification in a more generalized and heterogeneous production setting.

Details

Actions