density function with higher density and thereby generate large, asymmetric job-finding rate and unemployment reactions. Our …

This paper provides new estimates of Okun’s unemployment-output relationship in euro area countries between 1979 and … characterise the literature and that the responsiveness of output to unemployment is driven by idiosyncratic factors in both euro …

It has been noted that the search and matching model cannot account for the observed unemployment fluctuations. Gertler …

This paper points out an empirical failing of real business cycle models in which unemployment is endogenized through a … matching function. One can easily choose a calibration to make the cyclical fluctuation in unemployment as large in the model … as it is in the data, or to make the response of unemployment to a change in the unemployment benefit as small in the …

The adaptive learning approach has been fruitfully employed to model the formation of aggregate expectations at the … macroeconomic level, as an alternative to rational expectations. This paper uses adaptive learning to understand, instead, the … sentiment, defined as the degrees of excess optimism and pessimism that cannot be justified by the near-rational learning model …

infinite-horizon learning, and subjective expectations with Euler-equation learning. Under rational expectations, the model … necessitates of large, possibly unrealistically so, degrees of myopia. The same result persists under infinite-horizon learning …, given that agents are still remarkably far-sighted. But, under Euler-equation learning, the model can fit the data with only …

unemployment and its duration distribution. Using the SIPP, we document the relation between workers' (gross and net) occupational … mobility and unemployment duration over the long run and business cycle. To interpret this evidence, we develop an analytically … countercyclical net occupational mobility, the large volatility of unemployment and the cyclical properties of the unemployment …

. In particular, I show that once markups are allowed to respond to trade liberalization, unemployment and residual wage …

In a multi-country general equilibrium economy with mobile capital and rigid-wage unemployment, countries may differ in … conditions under which - in contrast to free trade with undistorted labor markets - welfare declines and unemployment increases … taxation to tax competition. -- capital taxation ; asymmetric tax competition ; rigid wages ; unemployment ; losses from trade …

in geographical mobility, unemployment and labor market institutions. Rational agents vote over unemployment insurance … unemployment, low geographical mobility and high unemployment insurance, and one American steadystate featuring low unemployment …, high mobility and low unemployment insurance. …