We develop a New Monetarist model with expenditure and unemployment risks that generates equilibria with non …-o¤ between inflation and unemployment. Distributional effects also generate a quantitatively significant aggregate demand channel …

61,000 persons in Spain in 1985 when unemployment exceeded 20%--to examine the effect of unemployment insurance (UI) and … family serves as a form of welfare; (3) hazard rates linking the chances of job finding to duration of unemployment in the … 1981-85 period of massive joblessness did not decline with duration; (4) the length of unemployment spells reduces wages …

This paper argues that hysteresis helps explain the long-run behavior of unemployment. The natural rate of unemployment … is influenced by the path of actual unemployment, and hence by shifts in aggregate demand. I review past evidence for …

-cycle-frequency fluctuations in unemployment and job vacancies in response to shocks of a plausible magnitude. In the U.S., the vacancy-unemployment … vacancy-unemployment ratio and labor productivity have nearly the same variance. I establish this claim both using analytical … small movement along a downward sloping Beveridge curve (unemployment-vacancy locus). A shock to the job destruction rate …

a burst of layoffs. Unemployment rises because jobs are hard to find, not because an unusual number of people are thrown … into unemployment …

understanding the claims of industrial policy advocates. It also can provide the basis for a theory of occupational segregation and … discrimination which will not be eroded by market forces. Finally, the model provides the basis for a theory of involuntary … unemployment …

good job of explaining the deviations of household inflation and unemployment expectations from the `rational expectations …

unemployment. Our empirical results provide support for this theory as we demonstrate that the appropriately measured probability …This paper develops a model of unemployment rate dynamics that provides an explanation of persistent cyclical … unemployment that does not involve persistent expectational errors or other nonoptimizing behavior. Our results are based on the …

This paper studies how the thick market effect influences local unemployment rate fluctuations. The paper presents a … fluctuations in the local unemployment rates. Since larger cities attain the critical market size more frequently, they have … shorter unemployment cycles, lower peak unemployment rates, and lower mean unemployment rates. Our empirical tests are …