study the effects of labor supply shocks on labor market outcomes. Using quarterly information on wages and employment in … separately from the effects of political instability. The results suggest that low-skilled wages are adversely affected by an … increase in the supply of low- and high-skilled workers, while high- skilled wages are only weakly negatively related to an …

reservation wages, using data from the German Socio-Economic Panel. The longitudinal aspect of the dataset provides an interesting … perspective on the dynamics of reservation wages and their correlations with accepted wage offers for workers who make the … transition from unemployment to employment. The findings have important policy implications as well, since they shed some light …

We derive a sufficient statistics optimal tax formula in a general model that incorporates unemployment and endogenous … wages, to study the shape of the tax and transfer system at the bottom of the distribution. The sufficient statistics are … resembles a Negative Income Tax than an Earned Income Tax Credit relative to the case where unemployment and wage responses are …