Chapter 1. Introduction -- Chapter 2. The starting points -- Chapter 3. The optimal level of unemployment insurance -- Chapter 4. The optimal time profile of UI policy -- Chapter 5. Unemployment insurance over the business cycles -- Chapter 6. Some further notes on the role of a UI system --...

The note addresses the relevance of shirking for the reform of employment protection systems designed by Blanchard and Tirole. Broadening Blanchard and Tirole’s informal discussion of quits and layoffs and the role of the courts, it is argued that the problems connected with shirking phenomena...