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Research Institute of Industrial Economics (IFN) Working Paper Series

No 159:
The Effects of Unemployment Compensation in General Equilibrium with Search Unemployment

Bo Axell and Harald Lang

Abstract: In this article it is shown that when the effects of an increase in unemployment subsidies are studied in a general equilibrium framework, unemployment increases far less than in a "partial-partial" model, or may even decrease.

Keywords: Unemployment subsidies; general equilibrium; partial model; (follow links to similar papers)

JEL-Codes: J64; J65; (follow links to similar papers)

19 pages, June 1986

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