in their unemployment rate and not a decline in labour force participation rate. Policymakers should take account of …

economy permanently operates below capacity due to both structural unemployment and underemployment. The latter is a direct … explain movements of unemployment and underemployment in opposite directions. Finally, we show that fluctuations in the total … employment gap under stagnation are primarily driven by fluctuations in underemployment instead of structural unemployment. Our …

We study the impact of graduating in a recession in Flanders (Belgium), i.e. in a rigid labor market. In the presence … of a high minimum wage, a typical recession hardly influences the hourly wage of low educated men, but reduces working …

density function with higher density and thereby generate large, asymmetric job-finding rate and unemployment reactions. Our …

downward rigidity, and magnifying the response of unemployment to negative shocks. We also consider layoffs and show that for a …

This paper studies the effect of two labor market institutions, unemployment insurance (UI) and job search assistance … search unemployment, skill depreciation during unemployment, and idiosyncratic as well as aggregate labor market risk. The …

This paper analyzes the strikingly different response of unemployment to the Great Recession in France and Spain. Their … labor market institutions are similar and their unemployment rates just before the crisis were both around 8%. Yet, in … France, unemployment rate has increased by 2 percentage points, whereas in Spain it has shot up to 19% by the end of 2009. We …

U3, the official unemployment rate, is an inadequate gauge of labor-market slack and the extent to which it misinforms … varies substantially over the business cycle. The U6 unemployment rate is usually about 4 percentage points above U3. However …, during the Great Recession it exceeded U3 by 7 percentage points for three years. Moreover, the U6-U3 gap is magnified among …

, African-Americans and whites. Transition probabilities are contrasted prior to the Great Recession and afterwards. Estimates … are usually more likely to be hired when business cycle conditions are weak. During the Great Recession, the odds of …