This paper analyzes the strikingly different response of unemployment to the Great Recession in France and Spain. Their … France, unemployment rate has increased by 2 percentage points, whereas in Spain it has shot up to 19% by the end of 2009. We … matching model, we estimate that about 45% of the surge in Spanish unemployment could have been avoided had Spain adopted …

with different equilibria descriptive of the labor markets in Spain and France, where the unemployment rates went from the … unemployment rate in Spain has jumped to much higher levels while switching between equilibria or, what is the same, because of …This paper delves into the recent events that led to the formation of the housing bubble in Spain and the resulting …