I am wondering how the consumption of the unemployed varies over the business cycle. We know that wages of people getting fired in busts are higher than wages of people in booms (Mueller 2012), so there seems to be some variation in the "unemployed" sample over the business cycle.
This surely should have some consequences on consumption of unemployed people over the BC - are there stylized facts on that?
Im looking for stuff like
- The longer the bust, the smaller average consumption of unemployed
- in busts, average consumption of unemployed smaller/larger than in booms