fragmentation. This gives us a theoretical framework in which wage inequality and unemployment rates are co-determined and therefore … fragmentation. We also explore how preferences for fair wages and the size of unemployment benefits govern the employment effects of … outsourcing and critically assess the role of political intervention that aims to reduce unemployment benefits under …

challenges the two basic functions of the welfare state, redistribution and social insurance when private unemployment insurance … markets are missing. The main results are: (i) outsourcing raises unemployment and labor income risk of unskilled workers; (ii … welfare optimal redistribution and unemployment insurance policies. …

We show that in a Ricardo-Viner-type trade model with unemployment due to search and matching the productivity effect …

the capital intensive export sectors. The overreactions cause unemployment, sluggish growth, a current account surplus and …

experience temporary declines. Nominal frictions lead to temporary unemployment when the shock dissipates, but this depends on …

profits, involuntary unemployment and within-group wage inequality in a unified framework. We use this model to investigate … simultaneous increase of average profits and involuntary unemployment as well as a surge in within-group wage inequality …