Because it generates disruption to production, cyclical fluctuations in the value of output, induced by the presence of price rigidities, have consequences for the optimal intertemporal allocation of hiring activities over the cycle.
In earlier work, joint with Monika Merz, published in the American Economic Review in 2007, the authors pose the question: what role does labor play in firms' market value?
They show that the model can well account for the evolution of stock prices in the U.S.[3] Yashiv is also interested in the labour market outcomes of Israeli and Palestinian Arabs.
[4] With Nitsa (Kaliner) Kasir from The bank of Israel he published a body of work on the (mis)fortunes of this important minority.
[5] In joint work with Gadi Perets, dated 2020, he examines the issue of invariance, which plays a key role in structural models used for policy design and evaluation.
Their paper shows how the algebraic method of Lie symmetries of differential equations can derive the full set of conditions for invariance.
In 2020 he was engaged in work on the COVID-19 with Uri Alon and Ron Milo, systems biologists from the Weizmann Institute of Science, on a proposed COVID-19 lockdown exit strategy.