Explain the differences in unemployment rate


Problem: A 30 year worker and a 60 year old are identical in terms of skill, search costs and the wage offer distribution they face.

(1) Explain why these workers will have different asking wages.

(2) Why would search theory explain the differences in their unemployment rate?

Solution Preview :

Prepared by a verified Expert
Macroeconomics: Explain the differences in unemployment rate
Reference No:- TGS01746158

Now Priced at $20 (50% Discount)

Recommended (96%)

Rated (4.8/5)