supply-variables affect unemployment in the long-run. Further we also investigate the impact of different supply and demand …-shock on long-term unemployment. Our findings suggest that there is hysteresis in both countries, and that it happens through … different channels, namely, long-term unemployment, productivity, capital stock and real long-term interest rates. These results …

the outflow rate, which is consistent with a regime with strict employment protection legislation. In Spain, however, both …In this paper we study the contribution of inflows and outflows to the dynamics of unemployment in three European … countries, the United Kingdom, France and Spain. We compare performance in these three countries making use of both …