local labour market is in close proximity of other labour markets, a local shock that increases unemployment may not lead to … lower pay rates if employers fear outward migration of their workers. Hence, the unemployment elasticity of pay will be …

The wage curve literature consistently finds a negative relationship between regional unemployment rates and regional … wages; the most widely accepted theoretical explanations interpret the unemployment rate as a measure of job competition …. This paper proposes new ways of measuring job competition, alternative to the unemployment rate, and finds that the …

of job losses, suggesting that unemployment typically comes as a surprise …