's theoretical framework: (i) wages are higher in states with more generous unemployment benefits, (ii) the perceived probability of … pay and the local unemployment rate -- in modern U.S. data. Consistent with recent evidence from more than 40 other … job-finding is lower in states with higher unemployment, and (iii) employees are less happy in states that have higher …

impact of technical change on relative wages and unemployment in a world in which one country has flexible and the other … the unskilled. By contrast, in Europe it is undoubtedly the rise and persistence of unemployment. Technology has been … European unemployment. This paper seeks to provide a unified account of these major factor market developments. It models the …

This paper develops a simple framework for examining human capital accumulation, unemployment, and relative wages in a …, technical change, and a productivity slowdown. We derive the consequences for the skilled-to-unskilled wage gap, unemployment …

This paper, which follows in an LSE tradition begun by Phillips and Sargan, examines the role of unemployment in … a variety of data sets as a check on the robustness of results, and 3) studies the effects of unemployment on the real … curve. The curve has a negative gradient at low levels of unemployment, but becomes horizontal at relatively high levels of …

immigrants, especially illegal ones, have a worse outside option than natives their wages are lower. Hence their presence reduces …-skilled labor markets, increasing unemployment of native low skilled. Legalization, instead decreases the unemployment rate of low …

unemployment. We show that heterogeneity, reflecting differences in match quality and worker assets, reduces the extent of … fluctuations in separations and unemployment. We find that the model faces a trade-off--it cannot produce both realistic dispersion … in wage growth across workers and realistic cyclical fluctuations in unemployment …

This paper reviews a new framework for analyzing the interrelationship between inequality, unemployment, labor market …. It implies that the opening of trade may raise inequality and unemployment, but always raises welfare. Unilateral … reductions in labor market frictions increase a country's welfare, can raise or reduce its unemployment rate, yet always hurt the …

that incorporates unemployment and endogenous wages. This formula nests a broad variety of structures of the labor market … Income Tax (NIT) at the bottom of the income distribution, in the presence of unemployment and wage responses to taxation …, such as competitive models with fixed or flexible wages and models with matching frictions. Our results show that the …