This paper develops a model with multiple steady states (low tax and unemployment rate versus high tax and unemployment … European unemployment rates observed during the seventies. The explanation given is that even if the unemployment rate would … job creation remains low making the return to a low unemployment rate impossible. The paper shows that in some cases …

while measures of relative poverty do not appear to have clearly identifiable drivers, income per capita and unemployment … particular, the share of long-term unemployment on total unemployment stands out as the most significant driver. The analysis …

The Brief investigates the role of policy uncertainty in explaining the persistently high unemployment rate in the euro … area after the Great Recession and the different impact of uncertainty on flows into and out of unemployment. …