We develop a method to jointly measure the response of worker search effort (individual effect) and vacancy creation (market-level effect) to changes in the duration of unemployment insurance (UI) benefits. To implement this approach, we exploit an unexpected cut in UI durations in Missouri and...

I model job-search monitoring in the optimal unemployment insurance framework, in which job-search effort is the worker’s private information. In the model, monitoring provides costly information upon which the government conditions unemployment benefits. Using a simple one-period model with...

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...

The generosity of social insurance coverage often increases with the beneficiary's age and their contribution time to social security, but existing policies vary considerably. We study the differentiation of unemployment insurance (UI) generosity by evaluating how the insurance incentive...

We examine how a 16-week cut in potential unemployment insurance (UI) duration in Missouri affected search behavior of UI recipients and the aggregate labor market. Using a regression discontinuity design (RDD), we estimate a marginal effect of maximum duration on UI and nonemployment spells of...

This paper uses a unique dataset about unemployment insurance recipients and their exits to employment in Estonia to investigate the effects of benefits on unemployment duration. The administrative data used clearly pinpoints total unemployment spells and exits to employment. Both nonparametric...

The single most likely way to leave the unemployment insurance (UI) register in Hungary is not by getting a job but by exhausting entitlement to benefit. Two questions follow. First, what are the implications of the cessation of UI for living standards? Second, does UI exhaustion have much...

This paper simultaneously investigates the effectiveness of benefit sanctions and active labour market programmes on the exit rate from un mployment using Danish data. In the data about one third of the individuals who are sanctioned also participate in some active labour market programmes...

This paper provides a comprehensive evaluation of benefit sanctions, i.e. temporary reductions in unemployment benefits as punishment for noncompliance with eligibility requirements. In addition to the effects on unemployment durations, we evaluate the effects on post-unemployment employment...

This paper explores how advance notice of layoffs, recall (rehiring) expectations, and unemployment insurance (UI) benefits affected on-the-job search among a random sample of Arizona UI recipients in 1975-76. The analysis indicates that pre-unemployment search had a strong positive association...