For large deformations, the governing equations of elastic-plastic flo
w may lose their hyperbolicity and become ill posed at some critical v
alues of the hardening modulus. This ill-posedness is characterized by
uncontrolled growth of the amplitude of plane wave solutions in certa
in directions. To capture post-critical behavior, microstructure is bu
ilt into the constitutive relations. Two types of microstructure are i
ncluded: one accounts for intergranular rotation via Cosserat theory,
and the other accounts for the formation of voids at the microscale by
means of a new pressure term related to the gradient of the dilationa
l deformation. Using both a linearized analysis and integral estimates
, it is shown that the microstructure terms provide regularizing mecha
nisms that inhibit the occurrence of both shear band ill-posedness and
flutter ill-posedness. Moreover, a local analysis shows that the prob
lem can be reduced to two turning point singular Schrodinger equations
in the neighborhood of points where the equations reach the critical
value of the hardening modulus. Using matched asymptotics and Wentzel-
Kramers-Brillouin (WKB) theory, a relation is derived between the thic
kness of the localization (internal layer) and the internal length sca
le of the material introduced by the microstructure terms