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We present a Search and Matching model with heterogeneous workers (entrants and incumbents) that replicates the stylized facts characterizing the US and the Spanish labor markets. Under this benchmark, we find the Post-Match Labor Turnover Costs (PMLTC) to be the centerpiece to explain why the...
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the US. -- oil prices ; unemployment ; vacancies ; business fluctuations …
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unemployment rate. Moreover, as a result of an increase in the level of disability benefits we find a strong substitution effect …
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