Hedström, Peter; Kolm, Ann-Sofie; Åberg, Yvonne - Nationalekonomiska Institutionen, Uppsala Universitet - 2003
This paper is concerned with social interactions and their importance for unemployment. A theoretical model is … specified in which the social and psychological costs of unemployment depend upon the unemployment level. The theoretical … analysis reveals social multiplier effects, and shows that multiple unemployment equilibria may emerge. Data on all 20- to 24 …