Who bears the cost of the business cycle? Labor-market institutions and volatility of the youth unemployment rate

Table 3 Simulated employment level

Case (i) Baseline: σ=2.0,P_i\|_i= 0.75
	Mean		S.D.		C.V.
	Young	Old	Young	Old	Young	Old	Young/old
α=0.005	0.3657	0.0819	0.0550	0.0653	0.1504	0.7971	0.1886
α=0.010	0.3475	0.1924	0.0723	0.0875	0.2081	0.4547	0.4576
α=0.015	0.3466	0.2418	0.0748	0.0874	0.2158	0.3613	0.5972
Case (ii) Lower substitutability between youth and adult: σ=1.0,P _i \| _i = 0.75
	Mean		S.D.		C.V.
	Young	Old	Young	Old	Young	Old	Young/Old
α=0.005	0.8745	0.8582	0.0171	0.0198	0.0195	0.0231	0.8465
α=0.010	0.8743	0.8657	0.0159	0.0170	0.0182	0.0197	0.9257
α=0.015	0.8737	0.8680	0.0154	0.0161	0.0177	0.0185	0.9543
Case (iii) High uncertainty (i.e. shock is less persistent): σ=2.0,P _i \| _i = 0.50
	Mean		S.D.		C.V.
	Young	Old	Young	Old	Young	Old	Young/Old
	0.361	0.0725	0.1136	0.6291	0.1136	0.6291	0.1805
α=0.010	0.3441	0.1871	0.0472	0.0534	0.1372	0.2855	0.4805
α=0.015	0.3452	0.2406	0.0471	0.0517	0.1365	0.2148	0.6356