Unemployment in Europe has reached 10% as this was prepared, and it is over 10% in the United States at the same time. How has the service economy been related to the current global recession? That is the focus of this paper. Much has been written about the impact of the structural shift to...

The job search literature suggests that an increase in the proportion of job seekers who are employed reduces the probability of unemployed people finding a job. However, there is little evidence indicating that employed and unemployed job seekers have similar observed characteristics or that...