unemployment. The public sector is decomposed into general government and an unfunded pension system with a tax benefit linkage … society. We find that lowering the pension replacement rate and increasing the retirement age can have strong labor market … effects. They strengthen labor supply both in terms of job search intensity, leading to lower unemployment rates, and hours …

-skilled workers. The stylized facts are that profits are concentrated among the high-skilled, involuntary unemployment is mostly among … the low-skilled, and private unemployment insurance is missing. This paper analyzes the effectiveness of redistribution … results are: (i) Social insurance props up wages, leading to more outsourcing and unskilled unemployment. (ii) Redistribution …

unemployment. Four main results are derived: (i) the optimal size of the welfare state depends on the degree of risk-aversion and … the unemployment rate as a measure of labor income risk. The unemployment rate partly reflects the country’s exposure to … globalization; (ii) corporate taxation and social insurance have equivalent effects on unemployment and outbound FDI; (iii) while an …