Standard search and matching models of equilibrium unemployment, once properly calibrated, can generate only a small … obtained in closed form as a function of observable variables (i.e., interest rate, value of leisure, and statistics of labor …

We examine how technological change affects wage inequality and unemployment in a calibrated model of matching … frictions in the labor market. We distinguish between two polar cases studied in the literature: a "creative destruction … that, in the model calibrated to the U.S. economy, both unemployment and vacancy durations are very short, i.e., the …

unemployment and an increased labor share of income, variables that remained stable in the U.S. We hypothesize that these changes … among workers in the labor market. A key focus is on the rise of U.S. wage inequality over the past 30 years. However, we … in labor market inequalities can be accounted for by the wave of capital-embodied technological change, which we also …