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This paper extends the multivariate filter approach of estimating potential output developed by Alichi and others (2018) to incorporate labor market hysteresis. This extension captures the idea that long and deep recessions (expansions) cause persistent damage (improvement) to the labor market,...
Persistent link: https://www.econbiz.de/10012009370
approach, the unemployment rate is on average 0.8 percentage points (ppts) higher than the official unemployment rate, with a …-cycle fluctuations in the unemployment rate from job separation, job finding, and participation. Correcting for misclassification changes … unemployment fluctuations, while participation accounts for fewer. The methodology I propose can be applied to any other labor …
Persistent link: https://www.econbiz.de/10012009388
United States prevents any persistence in relative regional unemployment rates whereas the lack of mobility in Europe results … in persistent unemployment rate differentials across British regions and European nations. Europe must therefore adopt … measures to reduce barriers to immobility if it is to succeed in moderating the persistence in relative unemployment rates …
Persistent link: https://www.econbiz.de/10014398207
The aim of this paper is to analyze and estimate salient characteristics of unemployment dynamics. Movements in … unemployment are viewed as "chain reactions" of responses to labor market shocks, working their way through systems of interacting … aggregate measures of unemployment responses to temporary and permanent shocks. These measures are temporal (depicting how long …
Persistent link: https://www.econbiz.de/10010273099
High rates of unemployment entail substantial costs to the working population in terms of reduced subjective well … sensitivity of subjective well-being to fluctuations in unemployment rates is much lower in the public sector than in the private … unemployment. …
Persistent link: https://www.econbiz.de/10010268746
have higher wage dispersion. We also examine the relationship between unemployment benefits and job search. …
Persistent link: https://www.econbiz.de/10010268843
The Mortensen-Pissarides model with unemployment benefits and taxes has been able to account for the variation in … unemployment rates across countries but does not explain why geographical mobility is very low in some countries (on average, three … times lower in Europe than in the U.S.). We build a model in which both unemployment and mobility rates are endogenous. Our …
Persistent link: https://www.econbiz.de/10010271224
unemployment, which we calibrate on EU15 and US data. Labor market imperfections are found to significantly increase the volume of … to investigate how demographic asymmetries may have contributed to unemployment and welfare changes in the recent past …
Persistent link: https://www.econbiz.de/10010282316