We consider a simple overlapping generations model with exogenous fertility that analyzes the effects of the institutions of labor market and remittances on unemployment. In our model, the remittances take the form of insurance against involuntary unemployment. In this environment, it was shown...

This paper considers the formation of the urban formal ector wages in the presence of rural migration in a collective bargaining framework. We show in particular that the restoration of full employment in the presence of an informal sector can be implemented through a policy of subsidy depends...

An optimizing representative firm pays efficiency wages to skilled workers to produce technological innovations, which are assumed to be of labor saving type, affecting negatively the hiring rate of unskilled workers. The results are: i) The efficiency wage of skilled workers is determined by...