regional labour markets. However, distortions in extracting the regional unemployment effects arise in standard regional (i … unemployment is often ignored. Both issues are particularly important in high unemployment regimes like East Germany where a wage … existence of an East German wage curve. Due to the nonstationarity of spatial data, a global panel cointegration approach is …

unemployment. Empirical results focus on particular theoretical channels establishing the relationship. Panel models mostly draw on … this paper, we adopt a global cointegration approach recently proposed by Bienstock and Felsenstein (2010) to account for …

26 NUTS-2 regions over the period 2005-2008. When the local unemployment rate is treated as predetermined, there is … evidence in favor of the wage curve only for younger and female workers. However, if the lagged unemployment rate is used as an … instrument for current unemployment rate, we find an unemployment elasticity of -0.099. We also find a higher elasticity for …

, the estimates of the elasticity of individual wages to local unemployment rates was -0.07, a value that is very close to …

period 2005-2009. The wage curve is an empirical regularity describing a negative relationship between regional unemployment … more sensitive to variations in regional unemployment rates than wages of formal workers. This is true for all workers as …

employer and may choose to remain unemployed rather than to accept a low-wage job. In this case, unemployment can serve as a … signal of productivity, and duration of unemployment may be positively related to post-laid-off wages even among workers who … are not recalled. In contrast, because workers whose plant closed cannot be recalled, longer unemployment for them should …

, the estimates of the elasticity of individual wages to local unemployment rates was -0.07, a value that is very close to …

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 …

This paper looks at the effects of unemployment on re-employment wage for men using the first seven waves of the … of sample selection and unobserved heterogeneity are also addressed in the analyses. This study finds that, unemployment … to increase to about 14% in the fourth year before starting to decline. In addition, the first spell of unemployment is …

find evidence in favor of the Polish wage curve with an unemployment elasticity of -0.06. We also find that males in Poland … are significantly more responsive to local unemployment rates (-0.08) than their female counterparts (-0.04). Moreover, if … the lagged unemployment rate is used as an instrument for current unemployment rate, we find that the unemployment …