voluntary non-participation and involuntary unemployment which is caused by labor market rationing and model the dynamics of … allows us to test for true state dependence of voluntary non-participation, involuntary unemployment, full-time work and over …

We show that equilibrium involuntary unemployment emerges in a multi-stage game model where all market power resides … with firms, on both the labour and the output market. Firms decide wages, employment, output and prices, and under constant … returns there exists a continuum of subgame perfect equilibria involving unemployment. A firm does not undercut the …

unemployment. Utilizing this framework, the article provides different empirical identification strategies in order to disentangle … the various means through which unemployment alters both the well-being and utility of an individual and shows, by … reviewing some of the recent research in which I have participated, that unemployment primarily threatens an individual …

unemployment. Utilizing this framework, the paper provides different empirical identification strategies in order to disentangle … the various means through which unemployment alters both the well-being and utility of an individual and shows, by … reviewing some of the recent research in which I have participated, that unemployment primarily threatens an individual …

When unemployment prevails, relations with a particular firm are valuable for workers. As a consequence, a worker may … workers with wages that exceed the going market rate. This motivates workers to provide high effort, even though they could … shirk and switch firms. Our results thus suggest that unemployment is not a necessary device to motivate workers. We also …