The recession of the early 1990s caused a serious unemployment problem in Finland. This study investigates the role of compositional variation in unemployment duration using individual data on Finnish workers. The compositional effect is examined by predicting the impact of the observed...

During the last decade several empirical studies have stressed the importance of norms and social interactions for explaining sickness-absence behavior. In this context, public discussions about the intentions of the insurance, and of the rights and duties of the receivers, may be important for...