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The Beveridge Curve

  • Eran Yashiv
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    The Beveridge curve depicts a negative relationship between unemployed workers and job vacancies, a robust finding across countries. The position of the economy on the curve gives an idea as to the state of the labour market. The modern underlying theory is the search and matching model, with workers and firms engaging in costly search leading to random matching. The Beveridge curve depicts the steady state of the model, whereby inflows into unemployment are equal to the outflows from it, generated by matching.

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    File URL: http://cep.lse.ac.uk/pubs/download/dp0807.pdf
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    Paper provided by Centre for Economic Performance, LSE in its series CEP Discussion Papers with number dp0807.

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    Date of creation: Jun 2007
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    Handle: RePEc:cep:cepdps:dp0807
    Contact details of provider: Web page: http://cep.lse.ac.uk/_new/publications/series.asp?prog=CEP

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    1. Alejandro Cuñat & Marc J. Melitz, 2012. "Volatility, Labor Market Flexibility, And The Pattern Of Comparative Advantage," Journal of the European Economic Association, European Economic Association, vol. 10(2), pages 225-254, 04.
    2. Henry G. Overman & Patricia Rice & Anthony J. Venables, 2010. "Economic linkages across space," LSE Research Online Documents on Economics 30779, London School of Economics and Political Science, LSE Library.
    3. Buiter, Willem H., 2007. "Seigniorage," CEPR Discussion Papers 6152, C.E.P.R. Discussion Papers.
    4. Bernard, Andrew B. & Jensen, J Bradford & Redding, Stephen J. & Schott, Peter K., 2007. "Firms in International Trade," CEPR Discussion Papers 6277, C.E.P.R. Discussion Papers.
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