worker and firm heterogeneity. I find that minimum wages up to 70% of the median wage significantly increase productivity … the minimum wage cuts deep into the wage distribution. I show that gradually implementing a high minimum wage is necessary … to avoid elevated unemployment rates during the transition …

This paper explores the relationship between the duration of a vacancy and the starting wage of a new job, using … workers eventually filling the vacancies. We find that vacancy durations are negatively correlated with the starting wage and … that this negative association is particularly strong with the establishment component of the starting wage. We also …

transitions between labor status or jobs, whereas for those at the top, earnings changes are mainly induced by wage rate growth …

We document substantial cross-sectional heterogeneity of German establishments’ real wage cyclicality over the business … wages. We estimate a negative connection between establishments’ wage cyclicality and their employment cyclicality, thereby …

This paper studies the unemployment accelerator, a mechanism where workers directly affect the firms’ financial … conditions, and, in turn, firms’ financial conditions feedback again to the real economy. The unemployment accelerator builds on … in labor and financial markets. We provide compelling micro-evidence of the unemployment accelerator: a 10% increase in a …

unemployment benefits reduce unemployment? Using a recent labour market reform in Germany as background, we find that an enhanced … effectiveness of the PEA explains about 20% of the observed post-reform unemployment decline. The role of unemployment benefit … the PEA could have had an even higher impact on unemployment reduction if there had been less focus on long …

information on parents' schooling and employment status. Unemployment might have negative psychological effects, with impact on … unemployment was in fact the major driving force. …

In a multi-country general equilibrium economy with mobile capital and rigid-wage unemployment, countries may differ in … conditions under which - in contrast to free trade with undistorted labor markets - welfare declines and unemployment increases …