While unemployment rates in Europe declined after the global financial crisis until 2018/19, the incidence of long …-term unemployment, the share of people who have been unemployed for more than one year to the total unemployed, remained high. Moreover …, the COVID-19 pandemic could aggravate the long-term unemployment. This paper explores factors associated with long …

that this may have contributed to more elastic aggregate supply in recent years, which is consistent with lower inflation …

relates average unemployment to average wage inflation; the curve is virtually vertical for high inflation rates but becomes …, at low inflation. Fourth, when inflation decreases, volatility of unemployment increases whereas the volatility of … inflation decreases: this implies a long-run trade-off also between the volatility of unemployment and that of wage inflation …

wage growth and inflation in Europe and factors that influence the strength of the passthrough from labor costs to prices …. Historically, wage growth has led to higher inflation, but the impact has weakened since 2009. Empirical analysis suggests that the … passthrough from wage growth to inflation is significantly lower in periods of subdued inflation and inflation expectations …

This paper analyzes, in a public finance context, how the optimal use of the inflation and the consumption tax is … by 1992. Two main questions are addressed: first, how the constraint of having to share a common inflation tax, in order … to preserve fixed-exchange rates, influences the optimal policy decisions concerning the inflation tax; secondly, how the …

While inflation differentials in a monetary union can be benign, reflecting a catch-up process, or an adjustment … domestic product and labor markets that amplify or make more persistent the impact of shocks on inflation. The paper examines … the determinants of inflation differentials in the euro area, with emphasis on the role of country specific labor and …

lead to unemployment surges, as firms are forced to cut costs when financing becomes expensive or is no longer available …. As a result, all countries with risk premium shocks saw unemployment surge, even as euro area core countries managed to … contain unemployment as firms hoarded labor during the downturn. Most striking, wage bills in euro area crisis countries and …

advanced Europe, where wages are more closely related to inflation and inflation expectations in the short run, implying …Wage rises have remained stubbornly low in advanced Europe in recent years, but, at the same time, newer EU members are … correction models suggests that wage growth responds more quickly to changes in unemployment in the newer EU members than in …

unemployment by about 2.2 pp after five years. If sequencing is required, starting with PMRs would be more effective in boosting … output, while starting with LMRs would reduce unemployment faster. Finally, increasing unemployment benefits would be more …

estimate the dynamic response of regional employment, unemployment, participation rates and net migration to state …, while that of relative unemployment is weaker during aggregate downturns, and (iv) the change in the response intensity of … a set of 21 Europe countries, we show that while the short-term response of participation rates to labor demand shocks …