This paper studies the effect of unemployment benefits on the unemployment and subsequent employment duration using … heterogeneity. We find that recipients, relative to non-recipients, face lower exit rates from unemployment, while an additional … month in unemployment increases their subsequent employment stability. This positive correlation between previous …

The generosity of the Unemployment Insurance system (UI) plays a central role for the job search behavior of unemployed … entitlement, has a negative impact on the job search activities of the unemployed increasing their unemployment duration. Despite … the disincentive effect of UI on unemployment duration, UI benefit generosity may also increase job match quality by …