This paper explains the divergent behavior of European and US unemployment rates using a job market matching model of … increase in real interest rates, and an increase in tax rates leads to a permanent increase in unemployment rates when the … replacement rates or initial tax rates are high, while no increase in unemployment occurs when institutions are 'employment …

rigidities and trade impediments in shaping welfare, trade flows, productivity, price levels and unemployment rates. We show that … patterns of unemployment. Specifically, trade integration -- which benefits both countries -- may raise their rates of … unemployment. Moreover, differences in rates of unemployment do not necessarily reflect differences in labor market rigidities; the …

This paper develops the thesis that credit market frictions may be an important contributor to high unemployment in … market imperfections, so unemployment rises and remains high for an extended period. The data show that there has not been … cause of the increase in European unemployment, they may have played some role in limiting European employment growth. …

-skilled labor markets, increasing unemployment of native low skilled. Legalization, instead decreases the unemployment rate of low …

volatility of unemployment relative to labor productivity, and (ii) a mild correlation between these two variables. We address …

Using two large US surveys, we estimate the effects of unemployment on the subjective well-being of the unemployed and … the rest of the population. For the unemployed, the non-pecuniary costs of unemployment are several times as large as … still employed, a one percentage point increase in local unemployment has an impact on well-being roughly equivalent to a …

labor market frictions and worker heterogeneity provides a framework for studying the impact of trade on unemployment and …