Showing 1 - 9 of 9
unemployment to non-participation in equilibrium. In contrast, existing models typically maintain stationarity and appeal to … exogenous stochastic shocks to generate transitions from unemployment to non-participation. Our model is based on relaxing a … first implication of the model is a declining hazard from unemployment to employment, arising due to erosion of self …
Persistent link: https://www.econbiz.de/10005822513
the inflation rate, but they very seldom cut nominal wages. This pattern suggests that workers exhibit a special … compare the inflation rate to the wage change before it becomes clear whether the change increases or decreases utility, thus … inflation rate. Although emotions may benefit individual workers, by strengthening their bargaining position and preventing wage …
Persistent link: https://www.econbiz.de/10005763663
This paper provides a new perspective by classifying active labor market programs (ALMPs) depending on their main objectives and their relevance and cost-effectiveness during normal times, during a crisis, and during recovery. We distinguish ALMPs that provide: (i) incentives for retaining...
Persistent link: https://www.econbiz.de/10011207666
Experimental evidence has convincingly shown the existence of reciprocal inclinations, i.e., a tendency for people to respond in-kind to hostile or kind actions. Little is known, however, about: (i) the prevalence of reciprocity in the population, (ii) individual determinants of reciprocity,...
Persistent link: https://www.econbiz.de/10005703379
We explore the far-reaching implications of replacing current unemployment benefit (UB) systems by an unemployment … balances in these accounts are available to them during periods of unemployment. The government is able to undertake balanced … model for the high unemployment countries of Europe. Our results suggest that this policy reform would significantly change …
Persistent link: https://www.econbiz.de/10005703506
This paper analyses theoretically and empirically how employment subsidies should be targeted. We contrast measures involving targeting workers with low incomes/abilities and targeting the unemployed under the criteria of "approximate welfare efficiency" (AWE). Thereby we can identify policies...
Persistent link: https://www.econbiz.de/10005762441
This paper sheds new light on the effects of the minimum wage on employment from a two-sided theoretical perspective, in which firms' job offer and workers' job acceptance decisions are disentangled. Minimum wages reduce job offer incentives and increase job acceptance incentives. We show that...
Persistent link: https://www.econbiz.de/10011103270
Standard search theory assumes that individuals know, with certainty, how they compare to competing searchers in terms of ability. In contrast, we hypothesize that searchers are uncertain about relative ability, with important implications for search behavior. We test our hypotheses in a...
Persistent link: https://www.econbiz.de/10005762322
markets in Germany. This result is robust to stratifying by age, sex, education, national origin, and a variety of other …
Persistent link: https://www.econbiz.de/10005763457