This paper provides quasi-experimental estimates of the causal effect of long-term unemployment on wages. Using … standard job search theory, the paper derives and tests conditions on reemployment wages under which Unemployment Insurance (UI …) extensions can be used as instrumental variables (IV) for unemployment duration. Using a regression discontinuity design, the …

One goal of extending the duration of unemployment insurance (UI) in recessions is to increase UI coverage in the face … of longer unemployment spells. Although it is a common concern that such extensions may themselves raise nonemployment …

adjustment in lieu of layoffs by providing prorated unemployment compensation to workers on reduced hours. This paper compares … the adjustment of manufacturing employment and hours in West Germany, France and Belgium, three countries with strong job … adjustment of employment to changes in output is much slower in the German, French and Belgian manufacturing sectors than in U …