local labour market is in close proximity of other labour markets, a local shock that increases unemployment may not lead to … lower pay rates if employers fear outward migration of their workers. Hence, the unemployment elasticity of pay will be … western Germany over the period 1990-97. …

This paper explicitly differentiates between unemployment and inactivity, by defining inactivity as a state in which … labor market states. In steady-state, we hence have a theory of equilibrium unemployment determined by both matching … of large flows between employment, unemployment and inactivity. Secondly, it shows that unemployment and aggregate wages …

In the past decades several features of U.S. unemployment dynamics have been investigated empirically. The original … focus of research was on the duration of unemployment. In later studies the cyclicality of incidence and duration …, compositional effects and duration dependence of the exit rate out of unemployment have been investigated. Unlike the partial …

available data for fourteen OECD economies. We thendevise a method to decompose changes in unemployment into contributions … accountedfor by changes in inflow and outflow rates for cases where unemployment deviates fromits flow steady state, as it does in … unemploymentvariation within countries. For Anglo-Saxon economies we find approximately a 15:85inflow/outflow split to unemployment …

proposes a model of monopolistic competition with an endogenous determination of workers flows in and out of unemployment …

decreasing in the substitutability of worker types. This cost of search is then decomposed into three components: unemployment … workers being more choosy. The resulting equilibrium is not efficient. Unemployment benefits can reduce the loss by serving as …