How do asymmetric labor market institutions affect the volatility of innovation and unemployment differentials in a … union model with unemployment, hiring frictions and real wage rigidities. The model provides a rigorous but tractable …. Positively, we find that inflation and unemployment differentials strongly depend on the underlying labor market structures …

-setting mechanisms and the cyclicality of unemployment in Euroland. We find that in the 1990s unemployment cyclicality has been higher in … still offer a convincing explanation for a significant part of Euroland's problem of persistently high unemployment. There …. -- unemployment ; wage-setting mechanisms ; European Monetary Union …