depreciation upon job loss-and its interaction with labor market institutions. We have three main results, based on a life … between turbulence and institutions explains most of the reduction in labor force participation among older workers in Europe … over this period, but ultimately explains little of the rise in unemployment. Third, only a small share of the increase in …

, sector division, unemployment and welfare. …

I model job-search monitoring in the optimal unemployment insurance framework, in which job-search effort is the worker …'s private information. In the model, monitoring provides costly information upon which the government conditions unemployment …