In this paper, we present a matching model with adverse selection that explains why flows into and out of unemployment are much lower in Europe compared to North America, while employment-to-employment flows are similar in the two continents. In the model, firms use discretion in terms of whom...

Starting in the 1980s, the composition of immigrants to the U.S. shifted towards less-skilled workers partly due to the influx of Latin American immigrants in the past few decades. Around this time, real wages and employment of younger and less-educated U.S. workers fell. Some believe that...

"The NBER Bulletin on Aging and Health provides summaries of publications like this. You can sign up to receive the NBER Bulletin on Aging and Health by email. In response to low take-up, many public schools have experimented with moving breakfast from the cafeteria to the classroom. We examine...