lead to unemployment surges, as firms are forced to cut costs when financing becomes expensive or is no longer available …. As a result, all countries with risk premium shocks saw unemployment surge, even as euro area core countries managed to … contain unemployment as firms hoarded labor during the downturn. Most striking, wage bills in euro area crisis countries and …

but have limited effects on overall poverty, as many poor households do not earn a wage near MW and higher unemployment …

unemployment and debt. The paper illustrates in a downside scenario, how low potential growth and crisis legacies leave the euro …

unemployment or faster growth. Weak output growth after such a cost shock is somewhat puzzling and has led some to question the … structurally slower real wage growth, that is, ""wage moderation,"" does raise output growth and lower unemployment rates. However …

unemployment by about 2.2 pp after five years. If sequencing is required, starting with PMRs would be more effective in boosting … output, while starting with LMRs would reduce unemployment faster. Finally, increasing unemployment benefits would be more …