This paper reviews a new framework for analyzing the interrelationship between inequality, unemployment, labor market …. It implies that the opening of trade may raise inequality and unemployment, but always raises welfare. Unilateral … reductions in labor market frictions increase a country's welfare, can raise or reduce its unemployment rate, yet always hurt the …

claims on business income also rise. According to the leading view of unemployment-the Diamond-Mortensen-Pissarides model …-when the incentive for job creation falls, the labor market slackens and unemployment rises. Employers recover their … when the discount rate rises. Thus high discount rates imply high unemployment. This paper does not explain why the …

inequality and raises unemployment, but expected welfare gains are ensured if workers are risk neutral. And while wage inequality …

In this paper, a theory of the natural or equilibrium rate of unemployment is built around a theory of the duration of … a minority are on temporary layoff or have just entered the labor force. Thus, high-unemployment labor markets are … efficient. The factors influencing the resulting natural unemployment rate are discussed. Under plausible assumptions, the …

dynamics in the tradition of Mortensen and Pissarides (1994). Our estimates discern 5 distinct types. Most unemployment comes … from just two of those types. Low employment types frequently circle among unemployment, short-term jobs, and being out of … the labor market. Short-term jobs play a role in the job-finding process related to the role of unemployment. These are …

Unemployment recoveries in the US have been inexorable. It is a remarkable fact that, prior to 2020, after unemployment … reached its peak in a recession, and a recovery began, the annual reduction in the unemployment rate was stable at around 0 … crisis intervenes, unemployment continues to glide down to its minimum level of approximately 3.5 percentage points. The …

consistent with increasing inequality in every country, growth in residual wage inequality, rising unemployment, and reallocation … within and between industries. While the opening of trade yields welfare gains, unemployment and inequality within sectors … nonmonotonic effects on unemployment and inequality within sectors. As aggregate unemployment and inequality have within- and …