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Author:Marimon, R.
Zilibotti, F.
Title:Unemployment vs. mismatch of talents: Reconsidering unemployment benefits
Journal:Economic Journal
1999 : APR, VOL. 109:455
Index terms:UNEMPLOYMENT
SKILLS
ECONOMETRIC MODELS
Language:eng
Abstract:This study develops an equilibrium search-matching model with risk-neutral agents and tow-sided ex ante heterogeneity. Unemployment insurance has the standard effect of reducing employment, but also helps workers to get suitable job. The paper shows how the mere difference on unemployment insurance, when countries experience a common skilled-biased technological shock , may result in differences in unemployment, productivity growth and wage inequality.
SCIMA record nr: 197805
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