When agents are liquidity constrained, two options exist — sell assets or borrow. We compare the allocations arising in …

equilibrium model with heterogenous labor markets. In this model three different types of unemployment arise: search, rest and …

We study the effects of immigration on native welfare in a general equilibrium model featuring two skill types, search … studied, immigration attenuates the effects of search frictions. These gains tend to outweigh the welfare costs of … in two thirds of countries, contrary to what models without search frictions predict. Average total gains from …

This paper describes a search model with a continuum of workerand job types, transferable utility and an increasing … benefitscan reduce the loss by serving as a search subsidy. The loss caused by search frictions is higher when worker types are …

The paper presents a model that allows a unified analysis of sickness absence and search unemployment. Sickness appears … worker may prefer nonparticipation if the disutility of search is amplified by sickness. The decisions governing labor force … affect individual decisions on absence and search and the implications for employment, unemployment and nonparticipation. The …

; layoffs are random and beyond the worker’s influence, while the re-employment chance is directly affected by search effort. We … characterize the worker’s optimal savings and job-search behavior as well as the resulting consumption paths and wealth formation …. In general, all decisions will depend on the current level of wealth: First, the choice of search effort increases as …

that the case for imposing a penalty on less active job search is fairly solid. A growing number of empirical studies …