Combining a spatial equilibrium model with a search-matching unemployment model, this paper analyzes the willingness to … pay for regional amenities and the regional quality of life when wages, rents, and unemployment risk compensate for local … unemployment ratio decreases in response to an increase in the amenity level if the amenity is marginally more beneficial to …

-skilled non employed workers, when their employability decreases as the unemployment spell lengthens. We show that the unemployed … minimum length of the unemployment spell. However, workers should be recruited before they become discouraged and stop … searching. We also show that for broad range of the parameters the optimal income support scheme takes the form of unemployment …