We build an analytically and computationally tractable stochastic equilibrium model of unemployment in heterogeneous … countercyclical unemployment, and is simultaneously consistent with procyclical reallocation, countercyclical separations and a … negatively-sloped Beveridge curve. Moreover, the model exhibits unemployment duration dependence, which (when calibrated to long …

equilibrium model of wage dynamics and unemployment. The model is developed under the assumption of worker mobility, so that … Beaudry and DiNardo (1991). We solve for the dynamics of wages and unemployment, and show that real wages do not necessarily … to match actual unemployment and wage series. We also show that equal treatment follows in our model from the assumption …

We introduce search and matching unemployment into a model of trade with differentiated goods and heterogeneous firms …

changes in the workforce distribution have non-negligible effects on unemployment rates, wages, and net output, but cannot be …This article examines unemployment disparities and efficiency in a densely populated economy with two job centers and … all the unemployed. With symmetric job centers, a change in the distribution of the workforce can lead to asymmetric …

as risk averse people would not be willing to enter it at random, being too concerned about ending up among the excluded … unemployment down to the minimum feasible rate which in the U.S. is most likely around 1.2%, -- the rate which prevailed in 1944 … on Rawlsian principles that risk-averse people would be willing to enter at random …

outsourcing cost, profit sharing and equilibrium unemployment, when profit sharing is also a part of the compensation schemes in … wage effect. For equilibrium unemployment the effects of outsourcing cost and profit sharing are ambiguous both in case of … the absence or presence of outsourcing and in this case lower outsourcing cost will decrease unemployment …

high-wage country with an imperfectly competitive labour market so that outsourcing reduces equilibrium unemployment …

, profit sharing, and equilibrium unemployment depending on whether in other industries profit share is or is not a part of the …. Under flexible profit sharing wage is higher if optimal profit share is small enough. For equilibrium unemployment, we find … that if there is no profit sharing in other industries, outsourcing will decrease the unemployment rate. But if profit …

This paper provides a novel justification for a declining time profile of unemployment benefits that does not rely on … moral hazard or consumption-smoothing considerations. We consider a simple search environment with homogeneous workers and …