Workplace accidents are an important economic phenomenon. Yet, the pro-cyclical fl uctuations in workplace accidents are not well understood. They could be related to fluctuations in effort and working hours, but workplace accidents may also be affected by reporting behavior. Our paper uses...

This paper analyzes the design of optimal unemployment insurance in a search equilibrium framework where search effort among the unemployed is not perfectly observable.We examine to what extent the optimal policy involves monitoring of search effort and benefit sanctions if observed search is...