Journal of Political Economy Vol. 84 No. 5 1976
Temporary Layoffs in the Theory of Unemployment
Abstract
The typical worker who is laid off is soon rehired by his original employer. This important and generally unnoticed fact requires a major reevaluation of our current theories of unemployment. This paper develops a theory of temporary layoffs. Specific attention is given to the question of why employment is reduced instead of hours. The role of unemployment insurance and of taxes is examined in detail.
- DOI
- 10.1086/260491
- Volume
- 84
- Issue
- 5
- Pages
- 937-957
- Language
- en
- Sources
- openalex crossref