not the case. Although unemployment is low, the labor market is not 'tight'. On the contrary, we show that what matters … to maintain their real wages by reducing labor demand still further. Furthermore, we argue inflationary pressures have …

's theoretical framework: (i) wages are higher in states with more generous unemployment benefits, (ii) the perceived probability of … pay and the local unemployment rate - in modern U.S. data. Consistent with recent evidence from more than 40 other … job-finding is lower in states with higher unemployment, and (iii) employees are less happy in states that have higher …