Existing models of equilibrium unemployment with endogenous labor market participation are complex, generate … procyclical unemployment rates and cannot match unemployment variability relative to GDP. We embed endogenous participation in a … variabilities but also generates strongly countercyclical unemployment rates. With some wage rigidity the model also matches …

distribution of firm characteristics, sorting patterns between firms and workers, and unemployment rates that can help explaining …

replacement rates or initial tax rates are high, while no increase in unemployment occurs when institutions are "employment …This paper explains the divergent behavior of European an US unemployment rates using a job market matching model of … the labor market with an interaction between shocks an institutions. It shows that a reduction in TF growth rates, an …

in explaining the variability of unemployment and vacancies. If we incorporate long-term wage contracts into the model …

A generalized rise in unemployment rates for both college and high-school graduates, a widening education wage premium … considerable part of the changes but fails to produce the increase in unemployment for the educated labor force. The mismatch shock …

unemployment. But many orthodox reforms of the labor market have proved difficult to implement because of political opposition. For …

summarized as the very existence of unemployment generating political support for "sclerosis". This may help to explain the timid …

consumption by running down their assets, while the employed save to buffer against future unemployment spells. I also show that …, unlike in models with exogenous income streams, unemployment transfers, by allowing agents to attain higher wages do not …

fill jobs. Moreover, unemployment rates are higher in industries which use employee referrals more extensively. This paper … search is, however, not necessarily efficient. Congestion externalities in referral search imply that unemployment would be …