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 labor market adjustment processes, (b) the … growth drivers. Estimating a system of labor market equations for a panel of EU countries, we derive the dynamic unemployment …

unemployment and its duration distribution. Using the SIPP, we document the relation between workers' (gross and net) occupational … mobility and unemployment duration over the long run and business cycle. To interpret this evidence, we develop an analytically … countercyclical net occupational mobility, the large volatility of unemployment and the cyclical properties of the unemployment …

A key question in labor market research is how the unemployment insurance system affects unemployment rates and labor … 76% of declining unemployment after the reform, a fact unexplained by existing research focusing on job finding rates … causally link our empirical findings to the reduction in long-term unemployment benefits using a heterogeneous-agent labor …

unemployment is high. Using monthly panel data for local labour markets in Sweden we find no (or only weak) evidence that high … unemployment makes it easier to fill vacancies. Instead, there are few vacancies when unemployment is high because there is a low … cyclical behaviour of stocks and flows in the labour market also without search frictions. In periods of high unemployment …

and trade can increase unemployment in import competing sectors. Empirical evidence suggests that both causes are …