We argue that US welfare would rise if unemployment insurance were increased for younger and decreased for older … workers. This is because the young tend to lack the means to smooth consumption during unemployment and want jobs to … accumulate high-return human capital. So unemployment insurance is most valuable to them, while moral hazard is mild. By …

mandated unemployment insurance (UI) and employment protection (EP). To illuminate the forces in these models, we study how UI … higher layoff taxes suppress frictional unemployment in less turbulent times, prevails in the models with labour market … impossible to include generous government-supplied unemployment insurance in that model without getting the unrealistic result …

longer hours. By contrast, a higher probability of losing jobs, a longer duration of unemployment, and in general a less …

. The Beveridge curve depicts the steady state of the model, whereby inflows into unemployment are equal to the outflows …

relatively choosier at the beginning of their unemployment spell. Hence they tend to continue to search unless a sufficiently …

Standard search and matching models of equilibrium unemployment, once properly calibrated, can generate only a small …