Byrialsen, Mikael Randrup; Raza, Hamid - In: European Journal of Economics and Economic Policies: … 15 (2018) 3, pp. 335-363
This paper attempts to analyse the macroeconomic effects of unemployment benefits in a small open economy. We adopt a stock–flow consistent (SFC) approach with an emphasis on the dynamics of the labour market. We numerically solve the model using a combination of estimation and calibration to...