In this paper we use a dynamic structural life-cycle model to analyze the employment,fiscal and welfare effects induced by unemployment insurance. The model features a detailedspecification of the tax and transfer system, including unemployment insurance benefitswhich depend on an individual's...

In this paper we develop a dynamic structural life-cycle model of labor supplybehavior which fully accounts for the eects of income tax and transfers on la-bor supply incentives. Additionally, the model recognizes the demand side drivenrationing risk that might prevent individuals from realizing...

We construct an equilibrium random matching model of the labour market, withendogenous market participation and a general matching technology that allows formarket size effects: the job-finding rate for workers and the incentives for participationchange with the level of unemployment. In...

This paper considers the problem of determining the extent of any state dependen-cies in women's labor supply behavior. Employment outcomes are modeled using adynamic multinomial choice framework including persistent unobserved heterogeneitywith a relatively general distribution. In order to...

Almost half the women in work in the UK work part-time, but views conflict: does this support awoman’s career or is it a dead-end trap?Cohort data on labour market involvement to age 42 show highly varied pathways throughfull/part-time/non-employment. Econometric estimation confirms that...

In 2000, the Lisbon Agenda set out an ambitious plan to make the EuropeanUnion “the most dynamic and competitive knowledge-based economy inthe world”. The Agenda suggested a need for action on three broad fronts:the first explicitly macroeconomic; the second explicitly microeconomic;the third...

I analyze empirically the effects of both urban and industrial agglomeration on men’s andwomen’s search behavior and on the efficiency of matching. The analysis is based on the ItalianLabor Force Survey micro-data, which covers 520 randomly drawn Local Labor Market Areas(66 per cent of the...

In China urban residents have traditionally been protected against labour marketcompetition from rural-urban migrants. Over the period of urban economic reform, rural-urbanmigration was allowed to increase in order to fill the employment gap as growth of labourdemand outstripped that of the...

By assuming Cobb-Douglas production technology, many well-known imperfectlycompetitive macroeconomic models of the labour market (e.g. Layard, Nickell andJackman, 1991) imply that equilibrium unemployment is independent of the capitalstock. This paper introduces a new notion of capacity into the...

This paper provides a critical view of the cross country literature on the impact of labour market institutions and policies on the evolving pattern of unemployment in OECD countries. Such widely used indicators as the generosity of unemployment insurance or the strength of trade unions are...