inflation and a permanent reduction in the level of unemployment. In short, we derive a microfounded long-run downward …

responsiveness of the unemployment rate to changes in macroeconomic variables. Most importantly, private information increases the … responsiveness of the unemployment rate to changes in the general (type- and effort independent) productivity level. If the changes … also affect the information structure, the responsiveness of the unemployment rate may be large, even if the changes in …

This Paper presents a reappraisal of unemployment movements in the European Union. Our analysis is based on the chain … reaction theory of unemployment, which focuses on (a) the interaction among labour market adjustment processes, (b) the … unemployment responses to each shock. Our analysis permits us to distinguish between the short- and long-run effects of the shocks …

This paper explores the two common concepts of the natural rate of unemployment: (i) the stable, long-run equilibrium … rate of unemployment; and (ii) the equilibrium unemployment rate at which there is no tendency for this rate to change … assessment, since it is generally impossible to find reliable estimates of the long-run values of the exogenous variables and …

unemployment by lowering the aggregate job-finding rate. We use this framework to measure the contribution of mismatch to the … recent rise in U.S. unemployment by exploiting two sources of cross-sectional data on vacancies, JOLTS and HWOL, a new …/3 of the total observed increase in the unemployment rate, whereas geographical mismatch plays no apparent role. The share …

apprentices in their training firms is fairly low. Second, the transition to employment involves unemployment periods for many …

The paper explores the influence of job security provisions on employment and unemployment. We show that this influence …’ bargaining power in wage negotiations. Specifically, costs of firing and hiring reduce employment and stimulate unemployment when … offers an explanation for Europe’s favourable unemployment performance vis-à-vis the United States in the 1950s and 1960s …

unemployment: labour unions, supply shocks combined with real wage rigidity, and automation and trade combined with real wage … rigidity. The fourth and fifth sections deal with deficient demand and labour turnover costs as sources of unemployment. The … final section deals with unemployment dynamics. …