We use the model to evaluate a tax-financed unemployment insurance scheme. Higher insurance is beneficial for … unemployment effects, unless workers are close to indifferent between working and not working; thus, recent findings are …

relates average unemployment to average wage inflation; the curve is virtually vertical for high inflation rates but becomes …, at low inflation. Fourth, when inflation decreases, volatility of unemployment increases whereas the volatility of … inflation decreases: this implies a long-run trade-off also between the volatility of unemployment and that of wage inflation …

advantage of the workers' induces higher unemployment in equilibrium. The upshot is a long run tradeoff between inflation and … unemployment for low levels of inflation. The prediction that low inflation involves higher unemployment in Europe but not in the …

explore the joint determination of wages, unemployment, house prices and city size (or migration). A key role of the model is …

This paper looks at models of unemployment which make two central assumptions. The first is that wages are bargained … between firms and employed workers, and that unemployment affects the outcome only to the extent that it affects the labor … market prospects of either employed workers or of firms. The second is that the duration of unemployment affects either the …

Two key facts about European unemployment must be explained: the rise in unemployment since the 1960s, and the … heterogeneity of individual country experiences. While adverse shocks can potentially explain much of the rise in unemployment … institutions pre-date the rise in unemployment. Based on a panel of institutions and shocks for 20 OECD nations since 1960, we find …