In most OECD countries, unemployment benefits are tied to individual previous labor earnings. We study the progressivity of this indexation with regard to its effects on employment, output and wages in four equilibrinin models of the labor market keeping the level of unemployment benefits fixed....

The paper analyzes the ability of a regional labor market to absorb growing flows of immigrant workers with declining levels of skills during relatively high unemployment. The impact of the size of the flow and the skill characteristics of the immigrants are analyzed. It is found that...