reduction of unemployment benefits on the other reduce unemployment? Using the recent labour market reform in Germany as … background we find that the role of unemployment benefit reduction for the reduction of unemployment is very modest (7% of the … the observed post-reform unemployment decline. If disincentive effects of PEA reforms had been avoided, the effect could …

The distribution of unemployment duration in our equilibrium matching model with spell-dependent unemployment benefits … aggregate unemployment rate. Structural estimation using a German micro-data set (SOEP) allows us to discuss the effects of a … recent unemployment benefit reform (Hartz IV). The reform reduced unemployment by only 0.3%. Contrary to general beliefs, we …

This paper estimates the causal effect of long-term unemployment on wages. Job search theory implies that if … Unemployment Insurance (UI) extensions do not affect wages conditional on the month of unemployment exit, then reservation wages do … not bind on average. Then, UI extensions affect mean wages only through unemployment durations and are valid instrumental …