unemployment rate to the natural rate and its persistence has a similarity to the concept of hysteresis in physics and implies that … wage flexibility and prevalence of hysteresis in the Australian unemployment rate during the study period …This study examines the paradoxical coexistence of high unemployment rates and real wage flexibility during the period …

part-time workers. A one percentage point increase in the unemployment rate led to an average decline in real hourly wages … of new hires are not helpful for understanding the behaviour of unemployment over the business cycle. …