The analysis in the book through Chapter 9 considered only the case of unemployed job search. This chapter extends the basic model to include on-the-job (OTJ) search, and discusses partial and general equilibrium versions of the model, estimates of primitive parameters, and a separate policy analysis comparable to that performed in Chapter 9. Though the models are quite different, the qualitative aspects of the policy analysis are roughly the same in the two model specifications that are estimated using different data sources and estimation techniques.
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