Three features of real‐life reforms of dual employment protection legislation (EPL) systems are particularly hard to study through the lens of standard labor‐market search models: (i) the excess job turnover implied by dual EPL, (ii) the nonretroactive nature of EPL reforms, and (iii) the...

This book studies the effects of imperfect competition between firms on the occurrence of macroeconomic disequilibria and their dynamic evolution. It starts out with a comparison of the concepts of subjective and objective demand and surveys the literature on general equilibrium theory with...