in countries with different labor market institutions. If labor market institutions raise the relative wage of unskilled …. Instead in the US, where wage-compressing institutions are weaker, firms invest more in high-skilled workers. We provide …

additional leisure and personal maintenance, not in increased household production. There is no relation between unemployment … lower amount of market work in areas of long-term high unemployment is offset by additional household production. In … contrast, in those areas where unemployment has risen cyclically reduced market work is made up almost entirely by additional …

frictions and unemployment insurance, when the latter is only imperfectly related to search effort. A balanced social insurance … volatility and persistence of vacancies and unemployment. …