. Furthermore, they fail to allow for quantity rationing and to model unemployment as a catastrophic event. The macroeconomics based …

This paper develops a rational expectations model with multiple equilibrium unemployment rates where the price of … a permanent reduction in wealth and consumption and a permanent increase in the unemployment rate. My work suggests that …

We propose a theory of low-frequency movements in unemployment based on asymmetric real wage rigidities. The theory … generates two main predictions: long-run unemployment increases with (i) a fall in long-run productivity growth and (ii) a rise …-run unemployment over the 1980s and its rise during the late 2000s. …

responsiveness of the unemployment rate to changes in macroeconomic variables. Most importantly, private information increases the … responsiveness of the unemployment rate to changes in the general (type- and effort independent) productivity level. If the changes … also affect the information structure, the responsiveness of the unemployment rate may be large, even if the changes in …

unemployment rates. It may be the case that this locus is steep enough to generate increasing returns to education. This may lead … unskilled are more exposed to unemployment relative to the skilled, as compared with the latter. The two equilibria cannot be …

an individual employer-worker match is allowed, the impact of severance payments on unemployment duration and incidence …

Implicit contract theory has been successful in explaining wage rigidity but not unemployment. We argue that the theory … restrictions contracts do not result in unemployment but that the market equilibrium is not constrained Pareto efficient. Our main … do not lead to unemployment, but limited observability may lead to unemployment. If, however, two or more restrictions …