either the official unemployment rate or alternative measures of labor market underutilization. Modest amounts of …We use a mix of new and existing data to develop the Aggregate Hours Gap (AHG), a novel measure of labor market … underutilization. Our measure differentiates individuals by detailed categories of labor market participation and uses data on their …

labor market frictions and worker heterogeneity provides a framework for studying the impact of trade on unemployment and …

unemployment. We show that heterogeneity, reflecting differences in match quality and worker assets, reduces the extent of … fluctuations in separations and unemployment. We find that the model faces a trade-off--it cannot produce both realistic dispersion … in wage growth across workers and realistic cyclical fluctuations in unemployment …

This paper provides a theoretical analysis of optimal minimum wage policy in a perfectly competitive labor market. We … show that a binding minimum wage -- while leading to unemployment -- is nevertheless desirable if the government values … redistribution toward low wage workers and if unemployment induced by the minimum wage hits the lowest surplus workers first. This …

Shimer's calibrated version of the Mortensen-Pissarides model generates unemployment fluctuates much smaller than the … has been challenged by Costain and Reiter, who say it generates unrealistically big differences in unemployment from the … labor market in the Kydland-Prescott model, especially ones incorporating household production, like Benhabib, Rogerson and …

the unskilled. By contrast, in Europe it is undoubtedly the rise and persistence of unemployment. Technology has been … identified as a key reason for the rising US wage inequality, while labor market rigidities are often cited as a key reason for … European unemployment. This paper seeks to provide a unified account of these major factor market developments. It models the …

of these costs have been shown to be reduced productivity in the labor market. The purpose of this paper is to present … unemployment. The sample of approximately 15,000 observations is drawn from the 1988 Alcohol Survey of the National Health … labor market participation are obtained using methods proposed by Amemiya and by Heckman and MaCurdy. For our sample of …