The kick-off workshop of the EES network, which took place on March 6-7, 2009, at the Kiel Institute for the World Economy, was successfully concluded. The workshop brought together around 40 participants, including network members and non-members. The presentations were on a wide range of issues (theoretical and empirical) related to labor markets and the business cycle.
The workshop started with an opening remark by Prof. Dennis J. Snower, President IfW. On day 1, the topics discussed were manifold, with new approaches to labor markets issues, including search and matching, labor turnover cost, real wage rigidity and the propagation of technology shocks. Moreover, Prof. Garey Ramey of UCSD gave an interesting keynote speech, and spoke about the importance of contractual fragility in labor contracts and
endogenous separations for labor market dynamics.
On Day 2, there were more presentations, ranging from moral hazard and the role of worker heterogeneity for labor market outcomes, implications of the great moderation to disinflation. Furthermore, Day 2 saw another interesting keynote speech by Prof. Jordi
Galí of CREI, who addressed the return of the "Wage Phillips curve", outlining the link between wage inflation and the rate of unemployment.
It was interesting to see participants engaging in lively discussions throughout the workshop. As such, the organizers would like to thank all participants for making the kick-off workshop a success.