Countercyclical unemployment benefit extensions in the United States act as a propagation mechanism, contributing to … both the high persistence of unemployment and its weak correlation with productivity. We show this by modifying an … otherwise standard frictional model of the labor market to incorporate a stochastic and state-dependent process for unemployment …

Although New Keynesian models with labor market frictions found an increase in unemployment and a decrease in labor … volatilities of unemployment and labor market tightness are not as high as their empirical counterparts. This calls for the … volatility of unemployment and labor market tightness in response to a positive technology shock compared to the model without on …

We show that the largest increase in unemployment benefits in U.S. history had large spending impacts and small job …

earnings losses for young workers generated by unemployment: unemployment represents time forgone in terms of human capital … downturn, as documented in the empirical literature. At the aggregate level, the framework delivers youth unemployment rates … that are higher and more sensitive to fluctuations in aggregate productivity than total unemployment rates. Additionally …

density function with higher density and thereby generate large, asymmetric job-finding rate and unemployment reactions. Our …

density function with higher density and thereby generate large, asymmetric job-finding rate and unemployment reactions. Our …

density function with higher density and thereby generate large, asymmetric job-finding rate and unemployment reactions. Our …

in German unemployment is fully explained by hysteresis. The Great Recession was well absorbed because both hysteresis … effects and structural unemployment were substantially reduced after institutional reforms. In contrast, U.S. unemployment did …