' incentives to create jobs, increases unemployment, and lowers GDP. To quantify the effects of this novel channel, we extend the … counterfactual exercises. We find that the adverse effects of our mechanism on the economy's TFP, GDP, and unemployment are sizable. …

that all the shortrun fluctuations automatically turn into long-run changes in the unemployment rate. We assert the …

This paper provides a critique of the "unemployment invariance hypothesis", according to which the behavior of the … labor market ensures that the long-run unemployment rate is independent of the size of the capital stock, productivity and … the equilibrating mechanisms to ensure unemployment invariance; in particular, other markets may perform part of the …

services are produced both in the market and within the households. We use the model to examine how unemployment and welfare … reduces unemployment whereas a tax cut on goods has no effect. A reform involving tax differentiation, with lower taxes on …

Conventional models of equilibrium unemployment typically imply that proportional taxes on labor earnings are neutral … with respect to unemployment as long as the tax does not affect the replacement rate provided by unemployment insurance, i ….e., unemployment benefits relative to after-tax earnings. When home production is an option, the conventional results may no longer …

unemployment among job-seekers. Using exact matching on labour market history and personal characteristics we find positive effects … effect of the length is found on unemployment, employment or wages. Overall, the results suggest that receiving a fixed term … contract reduces the risk of future unemployment, and that a longer contract increases the position within the workplace but …

This paper develops a Walrasian equilibrium theory of establishment level dynamics and matching frictions and uses it … to evaluate the effects of congestion externalities in the matching process and determine the government interventions …-wanted ads and an unemployment subsidy, is highly contractionary. However, it leads to large welfare gains. The policy also plays …

permanent employees enjoy labor protection. In a labor market characterized by search and matching frictions, firms find it …

-sector general equilibrium model featuring matching frictions and worker-firm wage bargaining. Workers are assumed to differ in …