Albertini, Julien; Fairise, Xavier - In: Journal of Economic Dynamics and Control 37 (2013) 9, pp. 1796-1813
imperfections characterized by real wage rigidities and search frictions. The US unemployment insurance financing is such that firms … policy instruments should interact with labor market imperfections. It is shown that wage rigidities in a search and matching … to the distorting effect of wage rigidities which generate inefficient separations. We show that the optimal unemployment …