Sickness benefit ineome reduces an employee's opportunity costs of absence from work. In the Federal Republic of Germany the institutional arrangement was changed several times during the 1951-1998 period. This paper investigates the effects on sick leave behavior. According to the empirical...

Sickness benefit income reduces an employee's opportunity costs of absence from work. In the Federal Republic of Germany the institutional arrangement was changed several times in the 1951–1998 period. The paper investigates the effects on absence behavior. According to the empirical...