This paper discusses the sensitivity of the labor market outcome in the standard bargaining paradigms - monopoly union and efficient bargaining - to the existence of a budget constraint pending on the financing of the unemployment benefit. Consequences of how the unions value members and...

This paper analyzes unemployment insurance (UI) schemes in the presence of mobile workers and trade unions at industry or regional level that are capable of internalizing the effect of wage demands on UI contribution rates. We compare two types of existing UI systems. When UI is organized at...

Our study compares the efficiency of unemployment insurance programs in a state union. A centralized insurance pools the cost of unemployment which implies a collective bargaining in the countries that leads to excessively high wages and inefficient insurance. Those high wages attract workers...

Our study compares the efficiency of centralized and decentralized unemployment insurance programs in a state union. We use a model of two countries with collective bargaining for regional gross wages. The labor force and the firms are partially mobile across the member states of the state...

Our study compares the efficiency of centralized and decentralized unemployment insurance programs in a state union. We use a model of two countries with collective bargaining for regional gross wages. The labor force and the firms are partially mobile across the member states of the state...