This paper tries to bridge the gap between the theoretical and empirical analyses of the aggregate impacts of labor market policies (LMPs). Contrary to previous empirical studies, we conduct an econometric analysis based on sound theoretical foundations. The specification is based on an...

This paper proposes a new method to estimate the extent of job competition between workers with different schooling levels. We estimate the structural parameters of a matching function generalised to incorporate crowding out effects. We use flow data out of unemployment containing information on...

This paper is concerned with the general equilibrium effects of active labor market programs and the unemployment insurance system (the replacement ratio and the level of sanctions). It develops an equilibrium job matching model where active programs and the rate of sanctions have an amiguous...

In this paper, we investigate what causes the aggregate exit rate out of unemployment estimated in Wallonia (Belgium) to decline over duration and to vary over calendar time. For that purpose, we specify a mixed proportional hazard (MPH) model where the mixing distribution depends on seasons and...

In this paper, we invesitgate whether the diverging evolution of unemployment in the two main regions of Belgium, Flanders and Wallonia, is driven by different evolutions in their average unemployment duration and/or their unemployment incidence. To that purpose, we proceed in two stages. In the...

This papers revisits the normative properties of search-matching economies when workers have concave utility functions. A general equilibrium framework is developed where agents are homogeneous and wages are bargained over. Assuming lump-sum taxation of profits, the optimal allocation of...

This paper investigates the effect of tax progression on labour market outcomes in an equilibrium search model with wage bargain and endogenous human capital. We show that this effect depends on whether the firm and the worker can write a binding contract on human capital investments or not. If...