Mercan, Yusuf; Schoefer, Benjamin; Sedláček, Petr - 2020
In recessions, unemployment increases despite the—perhaps counterintuitive—fact that the number of unemployed workers … finding jobs expands. On net, unemployment rises only because even more workers lose their jobs. We propose a theory of … unemployment fluctuations resting on this countercyclicality of gross flows from unemployment into employment. In recessions, the …