We investigate experimentally the economic effects of wage taxation to finance unemployment benefits for a closed … the dynamic interaction between the wage tax and unemployment. (ii) Employment is boosted by budget deficits but …

In this paper we investigate experimentally the functioning of a wage tax financed unemployment benefit system on the … development of the budget deficit, unemployment, and some other indicators of economic performance in an international economy. We … facilitate a balancing of the budget has strong adverse effects on unemployment and real GDP. …

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 …