Why did the average duration of unemployment become so much longer?

A-Tier
Journal: Journal of Monetary Economics
Year: 2009
Volume: 56
Issue: 2
Pages: 200-209

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

There has been a substantial increase in the average duration of unemployment relative to the unemployment rate in the U.S. over the last 30 years. We evaluate the performance of a standard job-search model in explaining this phenomenon. In particular, we examine whether the increase in within-group wage inequality and the decline in the incidence of unemployment can account for the increase in unemployment duration. The results indicate that these two changes can explain a significant part of the increase over the last 30 years, although the model fails to match the behavior of unemployment duration during 1980s.

Technical Details

RePEc Handle
repec:eee:moneco:v:56:y:2009:i:2:p:200-209
Journal Field
Macro
Author Count
2
Added to Database
2026-01-26