The elasticity parameters of labour demand for the whole economy are important for macroeconomic analyses. In particular, the parameters reflecting the change of labour demand with respect to labour costs and product are relevant information for policy makers. However, there are only a few...

The aim of this paper is to explain the Uruguayan unemployment dynamic using the theoretical framework of the Chain Reaction Theory (CRT). Changes in unemployment are viewed as “chain reactions” of responses to external shocks, working their way through systems of interaction lagged...