Extended unemployment is a debilitating problem. Job skills erode over time; the risk that workers will become discouraged increases, and many employers seem to actively discriminate against the long-term unemployed, often refusing even to consider their résumés. Indeed, a field experiment conducted by Rand Ghayad, a PhD candidate in economics at Northeastern University, showed that a recently unemployed applicant with no industry experience was actually more likely to be called in for a job interview than someone with directly applicable experience who had been out of work for more than six
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