, greater average firm productivity, a larger formal employment share, and a marginally lower unemployment rate. …

volatility, but generates substantially higher unemployment fluctuations in response to productivity shocks. Moreover, the policy … unemployment dynamics. The findings point to potential gains from policy complementarities between macroprudential regulation and …

consumption and output volatility, but generates larger unemployment fluctuations in response to productivity shocks; the same …

unemployment. As such, our work contributes to resolving twolimitations of current general equilibrium labor-search theory: under … standard calibrations modelswithout OTJ search generate implausibly low unemployment volatility, while models with OTJsearch … generate unemployment volatility closer to the data but at the expense of implausibly lowconsumption and labor …

We study how the countercyclicality of temporary layoffs affects aggregate unemployment fluctuations, firm entry and … exit dynamics, and macroeconomic fluctuations by building a tractable framework with equilibrium unemployment and … unemployment, and firm entry and firm survival in U.S. data, including the strong countercyclicality of temporary layoffs. We show …