increase in the pace of job creation and destruction may have substantial effects on employment and unemployment;the effects … may be out of its unemployment equilibrium for quite a long time after a shock occurs.The novelty of the model is that it … takes explicitly account of the propagationof shocks through the various duration classes of unemployment andallows for …

We study risk-based selection into a voluntary unemployment insurance (UI) scheme. To disentangle behavioral effects … find that individuals who sign up for UI are negatively selected in terms of subsequent unemployment. However, we find …