Purpose: This paper aims to analyze the question of how household indebtedness impacts households’ incentives to search for and accept work after displacement. Design/methodology/approach: To analyze the relationship between household indebtedness and unemployment duration, this paper applies...

The onset of the housing and subsequent financial crisis in 2008 marked the steepest economic downturn in the United. States, since the Great Depression in the late 1920s and 1930s. This most recent financial crisis has been characterized by massive layoffs and displacement. Given the depth of...