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We revisit the hypothesis that labor market fluctuations are driven by shocks to the discount rate. Using a model in which the UE and the EU rates are endogenous, we show that an increase in the discount rate leads to a decline in both the UE and the EU rates. In the data, though, the UE and EU...
Persistent link: https://www.econbiz.de/10012867149
We revisit the hypothesis that labor market fluctuations are driven by shocks to the discount rate. Using a model in which the UE and the EU rates are endogenous, we show that an increase in the discount rate leads to a decline in both the UE and the EU rates. In the data, though, the UE and EU...
Persistent link: https://www.econbiz.de/10012868079
of a whole business cycle, i.e. 2000‐2013. We focus on Spain – a country hit hard by unemployment increases in downturns …. Our results indicate that unemployment outs are crucial in understanding changes in unemployment rates in Spain … countries and led to gender convergence in aggregate unemployment rates. In this paper we seek the sources of this recent …
Persistent link: https://www.econbiz.de/10013016360
Some economic observers argue “structural unemployment” has increased in the wake of the Great Recession, but in this … paper we find little support for either of two arguments that suggest that structural unemployment has been on the rise. The … first argument focuses on the large increase in unemployment among construction workers. The second argument is that falling …
Persistent link: https://www.econbiz.de/10008867484
unemployment across a sample of OECD countries. Using an incomplete markets variant of the fair wage real business cycle model …, increases in the gross replacement rate of public unemployment insurance are shown to increase the volatility of employment, and … which unemployment is endogenised in the model. …
Persistent link: https://www.econbiz.de/10011099431
Australia has experienced a varied track record on unemployment. For the third quarter of the 20th century unemployment … averaged 2.0 per cent. This is bracketed by average unemployment rates of 8.6 and 7.4 per cent in the second and fourth quarter … economy. Two simulation experiments are considered. In the first we study the effect of varying the unemployment benefit on …
Persistent link: https://www.econbiz.de/10005260331
unemployment across a sample of OECD countries. Using an incomplete markets variant of the fair wage real business cycle model …, increases in the gross replacement rate of public unemployment insurance are shown to increase the volatility of employment, and … which unemployment is endogenised in the model. …
Persistent link: https://www.econbiz.de/10010456968
partially due to relative changes in the type of jobs available at these times. Unemployment Insurance (UI) helps individuals … transition through difficult economic situations such as periods of unemployment, and underemployment. While UI provides … insurance to households by helping them “smooth consumption†during a period of unemployment, studies have found evidence of …
Persistent link: https://www.econbiz.de/10011184421
This paper analyzes labor market success of workers who are displaced in boom versus recession periods. Moreover, the empirical analysis contrasts workers from small firms and large firms. The idea is that displacement carries no information about workers' productivity in large firms but is a...
Persistent link: https://www.econbiz.de/10005585652
In this paper, we study the effects of unemployment benefit duration and the business cycle on unemployment duration …. We construct durations for individuals entering unemployment from a longitudinal sample of Spanish men in 1987 …–94. Estimated discrete hazard models indicate that receipt of unemployment benefits significantly reduces the hazard of leaving …
Persistent link: https://www.econbiz.de/10005661677