The Effects of Unemployment Compensation in General Equilibrium with Search Unemployment.
It is shown that when the effects of an increase in unemployment subsidies are studied in a general equilibrium framework, unemployment increases far less than in a "partial-partial" model. In fact, the result may very well be a decrease in unemployment if the "general equilibrium forces" are strong enough. In the model used in this paper, an increase in unemployment compensation unambiguously decreases the rate of unemployment. Copyright 1990 by The editors of the Scandinavian Journal of Economics.
Year of publication: |
1990
|
---|---|
Authors: | Axell, Bo ; Lang, Harald |
Published in: |
Scandinavian Journal of Economics. - Wiley Blackwell, ISSN 1467-9442. - Vol. 92.1990, 4, p. 531-40
|
Publisher: |
Wiley Blackwell |
Saved in:
Saved in favorites
Similar items by person
-
General Equilibrium Without an Auctioneer
Albrecht, James W., (1983)
-
Is There a Long-Run Trade-Off between Inflation and Unemployment?
Axell, Bo, (1985)
-
The Effects of Unemployment Compensation in General Equilibrium with Search Unemployment
Axell, Bo, (1986)
- More ...