States, Canada, Germany, and several other OECD countries during and after the Great Recession of 2008-09. Unemployment rates … increased moderately in Canada. More recent data also show that, unlike Germany and Canada, the U.S. unemployment rate remains …

and recovery patterns for key EU members like Germany and France, within the Eurozone, were similar. However, after the … bubble burst and the crisis began unfolding it became clear that the Eurozone plight differed from America's in one … fundamental respect. There was no exact counterpart of Eurozone GIIPS (Greece, Italy, Ireland, Portugal, and Spain) in the United …

shock is absorbed by the federal government. The much larger reaction of taxes than transfers to these regional imbalances … European tax system on regional income suggests that a one dollar shock to regional GDP will reduce tax payments to the EEC …

recovered but unemployment lingered). This paper presents a model that captures these three facts. The key elements of the model … confidence shock. Lack-of-confidence shocks play a central role in generating jobless recoveries, for fundamental shocks, such as …

how this framework can generate changes in unemployment and labor force participation that match those uncovered by the … empirical literature studying the “China shock.” We find that the China shock leads to average welfare increases in most U ….S. states, including many that experience elevated unemployment during the transition. However, nominal rigidities reduce the …