fluctuations of vacancies and unemployment in our model can replicate those observed in the US data, with labour market tightness … for the new hires and the calibration is consistent with the estimated elasticity of unemployment to unemployment benefits …

A search and matching model, when calibrated to the mean and volatility of unemployment in the postwar sample, can … potentially explain the unemployment crisis in the Great Depression. The limited responses of wages from credible bargaining to … labor market conditions, along with the congestion externality from matching frictions, cause the unemployment rate to rise …

, unemployment, and business cycles. Great economists such as Marx, Veblen, and Schumpeter have examined this problem, concluding … fluctuations in the share of profits create inflation, unemployment, and business cycles. This generalization has been verified by … profit share is high, moderate inflation and employment were generated, and when profit share is low, inflation, unemployment …