This paper studies the role of worker learning in a labor market where workers have incomplete information about the quality of their employment match. The amount of information about the quality of a new match depends on a worker’s past job experience. Allowing workers to learn from...

There is little internal propagation of unemployment in standard search and matching models. When calibrated to the high levels of worker flows observed empirically, unemployment in these models rapidly converges back to its steady state level. We illustrate that even with high worker flows...