, but not in unemployment rates. We attribute such inconsistency to persons marginally attached to the labor force and … persons employed part time for economic reasons. Therefore, we construct extended measures for unemployment from 2003 to 2013 … that the alternative measures of unemployment rates support the existence of hysteresis in the Korean labor market, which …

mean duration of unemployment could decrease if an implicit income of unemployment declines or a rate of job offer rises … because a policy to lower an implicit income of unemployment may not secure policy target efficiency …

concord with the fact that young workers confront a relatively high unemployment rate compared to other population groups …

English Abstract: This paper studies the role of unemployment as a feedback variable in monetary policy interest rate … the real sector variable in the feedback rule. We build a DSGE model with sticky prices and wages and unemployment …, estimate the model using Korean data, and compare welfare losses between the rule responding to unemployment and the rule …