The Great Recession pushed Japan’s unemployment rate to historic highs, but the increase has been small by … the global financial crisis. Our findings suggest that: (i) employment responsiveness has been historically low but rising … historical patterns once we control for the size of the output shock; and (iii) the comparatively lower employment response vis …

relates average unemployment to average wage inflation; the curve is virtually vertical for high inflation rates but becomes …, at low inflation. Fourth, when inflation decreases, volatility of unemployment increases whereas the volatility of … inflation decreases: this implies a long-run trade-off also between the volatility of unemployment and that of wage inflation. …