Structural unemployment differs from cyclical unemployment by not disappearing in cyclical booms. In economic theory, structural unemployment is usually analyzed in terms of the concept of equilibrium unemployment (the “natural unemployment rate” in Friedman’s terminology). Two elaborate concepts of equilibrium unemployment – the non-accelerating inflation rate of unemployment (the NAIRU) and t...

.....................................................................................................2 1.Introduction................................................................................................4 1.1 Research Question..................................................................................4 1.2 Mental Workload.............................................................

This is the first study to attempt to explain income inequality using unemployment and inflation and international cross-sectional data. Using a SURE system, inflation is found to have an increasing impact on the shares of the lower 80% of the income distribution, while reducing the share of the highest 20%. Unemployment has a negative effect on the share of the first 40%, while increases the s...

Shimer (2012) accounts for the volatility of unemployment based on a model of homogeneous unemployment. Using data on short-term unemployment he finds that most of unemployment volatility is accounted for by variations in the exit rate from unemployment. The assumption of homogeneous exit rates is inconsistent with the observed negative duration dependence of unemployment exit rates for the U.S...