most of the key variables, as well as the negative co-variation of unemployment and vacancies. It offers a workable …

, selective survey of the literature. Four fundamental questions are explored: how are unemployment, job vacancies, and employment …

analyze the effect of changes in the macro economic variables on the wage contract and the unemployment rate. We find that … private information may increase the responsiveness of the unemployment rate to changes in productivity. The incentive power … of the wage contracts is positively related to high productivity, low unemployment benefits and high search frictions. …