employment is the efficient unemployment rate, u*. We define u* as the unemployment rate that minimizes the nonproductive use of …). Accordingly, the efficient unemployment rate is the geometric average of the unemployment and vacancy rates: u* = √uv. We compute …

This study documents how job seekers update perceived job-finding prospects by unemployment duration and by learning … about aggregate unemployment. We find that job seekers perceive an 18% decline in their job-finding probability for each … additional month of unemployment, but perceive a higher job-finding probability when the aggregate unemployment rate is …

, that frictions (sand-in-the-wheels) may decrease unemployment and that the equilibrium is determined by two simple …

unemployment benefits on the duration of joblessness in Austria, and discuss implementation issues that may arise in similar … nonparametric estimation (e.g. Imbens et al. (2012) and Calonico et al. (2014)) are sometimes interpreted by practitioners as … pointing to a default estimation procedure, we show that in any given application different procedures may perform better or …

By how much does an extension of unemployment benefits affect macroeconomic outcomes such as unemployment? Answering … this question is challenging because U.S. law extends benefits for states experiencing high unemployment. We use data … revisions to decompose the variation in the duration of benefits into the part coming from actual differences in economic …

equivalent workers fall sharply as unemployment duration progresses. We use the model to quantitatively assess the consequences … of such employer behavior for job finding rates and long term unemployment and find only modest effects given the large … decline in callbacks. Interviews lost to duration impact individual job-finding rates solely if they would have led to jobs …

We propose that the natural rate of unemployment has an active role in the business cycle, in contrast to the … Phillips-curve framework of low---often extremely low---response of inflation to unemployment could be the result of fairly … most Phillips-curve studies, that conclude that inflation has little relation to unemployment. We suggest that the flat …

We introduce dynamic incentive contracts into a model of unemployment dynamics and present three results. First, wage … cyclicality from incentives does not dampen unemployment dynamics: the response of unemployment to shocks is first … cyclicality from bargaining dampens unemployment dynamics through the standard mechanism. Third, our calibrated model suggests 46 …

-employment, duration dependence, and job ladders …