This paper investigates the reservation wages of unemployed persons on the basis of a job-search model with non-static reservation wages using panel data from Germany from 1987 to 1998. The results suggest that reservation wages are relatively high in Germany compared to other countries....

We develop a theoretical model with labor market frictions, incomplete financial markets and with households which have two members. Households face unemployment risks but their members adjust their labor supplies to insure against unemployment. We use the model to explain the cyclical...

Dass die Erklärung von Langzeitarbeitslosigkeit ein überaus aktuelles Thema ist, zeigt der starke Anstieg der Langzeitarbeitslosigkeit in den Industrieländern seit Mitte der 70er Jahre. Die Erhöhung der Langzeitarbeitslosigkeit bei gleichzeitigem Wirtschaftswachstum - sowohl in einer...