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achieving coverage in countries with high informality, financing the scheme without further distorting the labor market, and …
Persistent link: https://www.econbiz.de/10011549787
The benefits of implementing Unemployment Insurance Savings Accounts (UISAs) are studied in the presence of the multiple sources of information frictions often existing in developing countries. A benchmark incomplete markets economy is calibrated to Mexico in the early 2000s. The unconstrained...
Persistent link: https://www.econbiz.de/10011911462
This paper investigates the incentives that may induce workers to supplement income from unemployment benefits by engaging in temporary informal work. Using a dynamic model of job-search with moral hazard that incorporates a stylised schedule of benefit payments, we describe how informal sector...
Persistent link: https://www.econbiz.de/10011761509
Exploiting an unemployment insurance (UI) reform in Brazil, we study incentive effects of UI in the presence of informal labor markets. We find that eligibility for UI benefits increases formal layoffs by twelve percent. Most of the additional formal layoffs are related to workers transitioning...
Persistent link: https://www.econbiz.de/10012852422
We analyze for the first time the welfare effects of unemployment benefits (UBs) in a context of high informality …
Persistent link: https://www.econbiz.de/10012596314
In this paper, we document that a more generous unemployment insurance (UI) system shifts labor supply from safer to riskier firms and reduces the compensating wage differential that riskier firms are required to pay. Reallocation of labor supply towards riskier firms has real implications for...
Persistent link: https://www.econbiz.de/10012847424
Empirical evidence shows that in a labor market characterized by a severe degree of informality, unemployment insurance … model that incorporates informality in an incomplete markets framework to analyze the impact of changing (UI) components. In … while working in informality. We find that increasing the benefit eligibility criteria fosters employment while the duration …
Persistent link: https://www.econbiz.de/10014237425
Given the prevalence of informal labor, most countries have combined contributory social insurance programs (pensions, unemployment benefits, and health insurance), with non-contributory insurance programs and several types of "safety nets." All of these programs involve different types of...
Persistent link: https://www.econbiz.de/10012833862
developing countries advance their development objectives, even where enforcement capacity is weak and informality is pervasive. …
Persistent link: https://www.econbiz.de/10011417394
poverty and informality in the country, taking into account the simultaneous two-way relationship between these two phenomena …
Persistent link: https://www.econbiz.de/10011384097