-employment to analyze the implications of introducing universal unemployment protection for informal workers through transfers …, which are conditional on participation in training programs. We study how changes in unemployment benefits (UB) for … increasing training UB reduces unprotected unemployment and improves labor market outcomes through higher formal salaried …

externalities and equilibrium unemployment. Our model incorporates endogenous labor force participation and two margins of … consumption and output; a marginal increase in the unemployment and labor force participation rates; and an expansion in the … accompanied by gradual gains in output and consumption and a negligible expansion in unemployment. Critically, abstracting from …

, greater average firm productivity, a larger formal employment share, and a marginally lower unemployment rate. …

volatility, but generates substantially higher unemployment fluctuations in response to productivity shocks. Moreover, the policy … unemployment dynamics. The findings point to potential gains from policy complementarities between macroprudential regulation and …

volatility, but generates substantially higher unemployment fluctuations in response to productivity shocks. Moreover, the policy … unemployment dynamics. The findings point to potential gains from policy complementarities between macroprudential regulation and …

unemployment. As such, our work contributes to resolving twolimitations of current general equilibrium labor-search theory: under … standard calibrations modelswithout OTJ search generate implausibly low unemployment volatility, while models with OTJsearch … generate unemployment volatility closer to the data but at the expense of implausibly lowconsumption and labor …

consumption and output volatility, but generates larger unemployment fluctuations in response to productivity shocks; the same …