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 labour market shocks, working their way through systems of interacting … aggregate measures of unemployment responses to temporary and permanent shocks. These measures are temporal and quantitative …

In this paper we challenge the traditional labour market view, which argues that unemployment is determined in the long … the permanent and transitory components for the movements of the unemployment rate in four countries (Austria, France, UK …, and USA). We find that the transitory component has a significant impact on unemployment only in the US. In contrast to …

and Blanchard (1994). Aghion and Blanchard only present an 'approximate' solution which entails a constant unemployment … rate in what they call a turnpike approximation. We show that optimal unemployment paths have two features. First …, unemployment is increasing up to a certain point in time, when, second, the remaining inefficient state sector is closed down. At …

reduction in fertility is not due to the income loss generated by unemployment but arises because displaced workers undergo a … slows down after the birth of a child and all specific human capital is destroyed upon job loss. -- fertility ; unemployment …

modern labour market literature NAIRU is defined as the rate of unemployment at which inflation stabilizes in the absence of … any wage-price surprises. Conventional thinking about the equilibrium unemployment rate assumes that in the long run NAIRU …-mechanisms" which could lead to permanent shifts of equilibrium unemployment over time, implying that an unique long run NAIRU may not …

We propose a bivariate structural time series framework to decompose GDP and the unemployment rate into their trend …

We show that equilibrium involuntary unemployment emerges in a multi-stage game model where all market power resides … returns there exists a continuum of subgame perfect equilibria involving unemployment. A firm does not undercut the … employment equilibria may also exist, but only the involuntary unemployment equilibria are robust to decreasing returns …

-setting mechanisms and the cyclicality of unemployment in Euroland. We find that in the 1990s unemployment cyclicality has been higher in … still offer a convincing explanation for a significant part of Euroland's problem of persistently high unemployment. There …. -- unemployment ; wage-setting mechanisms ; European Monetary Union …

, generous unemployment insurance and active labor market programmes. It analyzes in which conditions flexicurity can be optimal …, with firms more likely to survive and thus not exposing much their workers to unemployment risk. Activation programmes … support the reallocation flow from unproductive to productive firms, helping to reduce unemployment. Low employment protection …

This paper investigates the consequences of pension reform for life-cycle unemployment and retirement. We find that (i …) improving actuarial fairness in pension assessment not only boosts old age participation but also reduces unemployment among … and welfare; (iii) excluding unemployment benefits from the pension assessment base reduces unemployment, encourages later …