Sun-Bin Kim

TL;DR: This paper presented a model economy where workforce heterogeneity stems from idiosyncratic productivity shocks and found that the aggregate labor-supply elasticity of such an economy is around 1, greater than a typical micro estimate.

TL;DR: In this paper, the authors demonstrate that aggregate employment and consumption can increase without a corresponding movement in productivity in a model with heterogeneous agents where the only aggregate disturbance is a productivity shock, and they caution against viewing the measured wedge as an inefficiency due to a failure of labor-market clearing or as a fundamental driving force behind business cycles.

TL;DR: In this paper, the authors model worker heterogeneity in the rents from being employed in a Diamond-Mortensen-Pissarides model of matching and unemployment and show that heterogeneity, reflecting differences in match quality and worker assets, reduces the extent of fluctuations in separations and unemployment.

TL;DR: In this article, the authors argue that the representative agent model often fails to represent an equilibrium outcome of a heterogeneous agent economy and demonstrate that if we were to explain the model-generated aggregate time series using decisions of a "fictitious" stand-in household, such a household is likely to have a nonconcave or unstable utility.

TL;DR: In this paper, a representative-agent model with incomplete asset markets and indivisible labor supply is simulated under various fiscal policy regimes and an approximating representative agent model is estimated.