This paper analyses job seekers' perceptions and their relationship to unemployment outcomes to study heterogeneity and …, accounting for most of the observed decline in job finding rates over the spell of unemployment. We also find that job seekers … calibrated model of job search how these biased beliefs contribute to the slow exit out of unemployment and can explain more than …

Fluctuations in the equilibrium rate of unemployment can only be understood within a theory of the natural or … equilibrium rate. It is not enough to say that unemployment is the difference between supply and demand in the labor market … themselves better off. At the equilibrium unemployment rate, employers cannot obtain labor at lower cost by offering work at …

information establishes that any consistent explanation for worksharing, layoffs, severance pay, quits and unemployment must focus …

A search and matching model, when calibrated to the mean and volatility of unemployment in the postwar sample, can … potentially explain the large unemployment dynamics in the Great Depression. The limited response of wages to labor market … conditions from credible bargaining and the congestion externality from matching frictions cause the unemployment rate to rise …

unemployment, called ranking. With the filling of vacancies unaffected by the selection rule, both equilibria have the same … aggregate dynamics, but different distributions of unemployment durations. With the threat point for the Nash bargained wage … being a worker with zero unemployment duration, the wage with ranking is much more sensitive to changes in the tightness of …

forces. A new private sector quickly emerged and has taken hold. Unemployment, which did not exist, is high and still … increasing. Will this process of transition accelerate, or slow down? Will unemployment keep increasing? Can things go wrong and … as important. The first is the interactions between unemployment and the decisions of both state and private firms. The …

values lower quality workers have discretely lower wages and higher unemployment than better workers. Moreover, increasing …