Behind similar unemployment rates in the United States and Portugal hide two very different labor markets. Unemployment … duration is three times longer in Portugal than in the United States. Symmetrically, flows of workers into unemployment are … Portugal. High employment protection makes economies more sclerotic; but because it affects unemployment duration and worker …

Over the last 15 years, Portugal and the United States have had the same average unemployment rate, about 6.5%. But … behind these similar rates hide two very different labor markets. Unemployment duration in Portugal is more that three times … that of the United States. Symmetrically, the flow of workers into unemployment in Portugal is, in proportion to the labor …

We develop a utility based model of fluctuations, with nominal rigidities, and unemployment. In doing so, we combine …-Mortensen-Pissarides model, with its focus on labor market frictions and unemployment. In developing this model, we proceed in two steps. We … effect on unemployment in the constrained efficient allocation. We then focus on the implications of alternative real wage …

U.S. macroeconomic evidence shows a negative relation between the rate of change of wages and unemployment. In contrast …, most theories of wage determination imply a negative relation between the level of wages and unemployment. In this paper … -- from real interest rates to oil prices to payroll taxes -- on the natural rate of unemployment. …

In countries where wages are primarily set by collective bargaining, the effects on unemployment of changes in the … relations. In this paper, we examine the role this quality of labor relations has played in the evolution of unemployment across … relations have experienced higher unemployment. This conclusion remains even after controlling for labor institutions. …

We construct a utility-based model of fluctuations with nominal rigidities and unemployment. We first show that under a … standard utility specification, productivity shocks have no effect on unemployment in the constrained efficient allocation … and wages. Inefficient unemployment fluctuations arise when we introduce real-wage rigidities. As a result, in the …