In the course of a comprehensive labor market reform started in 2003 and finished through the implementation of the most radical measure Hartz IV in 2005, I exploit its impact on matching processes in Germany. I use disaggregated data for 178 local employment agencies to examine the effects of...

The dynamics of unemployment and its response to measures taken to counter rising unemployment are not fully understood today. Their formal description often assumes homogeneity among individual agents in the labor market. Agent based frameworks allow for the faithful description of heterogenous...

This paper provides an alternative approach in explaining current account imbalances within the euro area. The inability of the ECB to react to disparities in inflation and economic growth between EMU members results in persistent real interest rate differentials, which in turn cause divergent...

In the course of a comprehensive labor market reform started in 2002 and finished through the implementation of the most radical measure Hartz IV in 2005, I exploit its impact on matching processes in Germany. I use disaggregated data for 178 local employment agencies to examine the effects of...