unemployment rate - into a short-term and a long-term component. While short-term unemployment might not result in additional … workers on a large scale, long-term unemployment reduces household income more, increasing the need for additional income. On … are available, distinguishing between short-term and long-term unemployment reveals discouragement effects. …

In this paper we study the effect of small labor market entry cohorts on (un)employment in Western Germany. From a … theoretical point of view, decreasing cohort sizes may on the one hand reduce unemployment due to "inverse cohort crowding" or on … the other hand increase unemployment if companies reduce jobs disproportionately. Consequently, the actual effect of …

The distribution of unemployment duration in our equilibrium matching model with spell-dependent unemployment benefits … aggregate unemployment rate. Structural estimation using a German micro-data set (SOEP) allows us to discuss the effects of a … recent unemployment benefit reform (Hartz IV). The reform reduced unemployment by only 0.3%. Contrary to general beliefs, we …