Course: Macroeconomics of Unemployment (Lecture) (5207-611)

Persons:

• Prof. Dr. Thomas Beißinger (verantwortlich)

Type of Course:

lecture

In-Class Hours Per Week:

2

Contents:

The focus of this lecture is on theoretical explanations of unemployment as an equlibrium phenomenon. For example, unemployment may be explained by search and matching frictions, the impact of labor union wage setting, or efficiency wage considerations. To take these aspects into account, we consider microeconomic general equilibrium models that are nowadays commonly used in macroeconomics to address the unemployment problem. Based on these models we will analyze the impact of labor-market institutions, such as the unemployment compensation system, on the level of unemployment and discuss possible labor-market reforms to increase employment. The distinction between capital owners and workers as well as between employed and unemployed workers allows us to discuss possible reasons for changes in the functional and personal income distribution. An accompanying exercise course offers students the opportunity to get a deeper understanding of the topics dealt with in the lecture.

Literature:

Cahuc, P. und Zylberberg, A. (2014), Labor Economics, Second Edition, MIT Press (selected chapters)
Additional references are provided in the lecture

Location:

Hohenheim

Module:

• 5207-630 Labor Markets and the Macroeconomy (compulsory)