-skilled workers. The stylized facts are that profits are concentrated among the high-skilled, involuntary unemployment is mostly among … the low-skilled, and private unemployment insurance is missing. This paper analyzes the effectiveness of redistribution … results are: (i) Social insurance props up wages, leading to more outsourcing and unskilled unemployment. (ii) Redistribution …

and sort individuals into three labour market regimes; employment, unemployment with and unemployment without … consistent with the assumptions of the structural model and suggest human capital depreciation for unemployment without programme …