imperfect competition. In equilibrium, unemployment emerges as the result of the market power exercised by insiders at the firm … countercyclical unemployment rate, in a way qualitatively consistent with US data. …

We construct a utility-based model of fluctuations, with nominal rigidities and unemployment, and draw its implications … for the unemployment-inflation trade-off and for the conduct of monetary policy. We proceed in two steps. We first leave … unemployment in the constrained efficient allocation. We then focus on the implications of alternative real wage setting mechanisms …

fluctuations. We find that the efficiency costs of fluctuations are modest on average. The major recessions involve significant …

inflation and unemployment. Under some assumptions, that relation takes a form similar to that found in empirical applications … unemployment rate in the U.S. economy, even under the strong assumption of a constant natural rate of unemployment. …

model labor market frictions and unemployment explicitly. The present paper describes some of the essential ingredients and …

provides a natural interpretation for the dynamic inflation-unemployment relation found in the data. …