Purpose: The purpose of this paper is to focus on the role of unions for job flow rates. Design/methodology/approach: The author uses a longitudinal data set emphasizing the importance of the time dimension. Findings: Using the fixed effects estimator, the author finds that unions decrease the...

Endogenous separation matching models have the shortcoming that they are barely able to replicate the Beveridge curve (i.e. the negative correlation between unemployment and vacancies) and business cycle statistics jointly. This paper builds upon the sectoral shock literature and combines its...