The authors argue that equilibrium unemployment has varied in the UK over the last twenty years, and that time series econometric methods have not always been suited to uncovering its evolution. Recent changes in the UK labour market seem to have had a significant impact on equilibrium...

The authors study the employment and distributional effects of regulating (reducing) working time in a general equilibrium model with search-matching frictions.

This paper presents an innovation driven endogenous growth model, where firms and unions bargain over wages. We find that the degree of centralization of the bargaining structure plays a crucial rule for economic performance. Central bargaining, which incorporates the leapfrogging externality...

This paper argues that in a growing economy unemployment can be the cause of goods markets failures, even if these are purely transitory. As the economy grows, new firms wish to enter products are accepted on the market, which we model as a purely transitory demand shock. It may take some time,...

Economic growth is driven by structural change. Structural change doer not come without a cost, the most evident social cost being high and persistent unemployment. This paper develops an economy with an endogenously expanding service sector, where the constant flow of workers in and out of...

The notion of contiguous duration dependence is defined and illustrated with a simple nonstationary job search model where unemployment spell and accepted job spell durations are stochastically related through reemploymkent earnings. The distribution of both reemployment earnings and accepted...

The single most likely way to leave the unemployment insurance (UI) register in Hungary is not by getting a job but simply by running out of entitlement to benefit. This situation raises two questions. First, what are the implications of the cessation fo UI for living standards? Second, does UI...