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In Portugal duration of benefits is exclusively age determined while replacement rates are to all intents and purposes uniform. We exploit differences in potential maximum duration of benefits for nearly matched pairs of individuals who differ in age by one year and in potential maximum duration...
Persistent link: https://www.econbiz.de/10012773397
This article analyzes the behavioral effects of cash transfer programs when jobless people need to have access to a minimum consumption level. Our model reconciles recent evidence about negligible or favorable effects of cash transfers on job-finding rates and the more standard view of negative...
Persistent link: https://www.econbiz.de/10012195781
Using cross-country data, we investigate the determinants of reservation wages and their course over the jobless spell. Higher unemployment benefits lead to higher reservation wages. Further, again consistent with the basic search model, repeated observations on the same individual provide scant...
Persistent link: https://www.econbiz.de/10011631763
This paper analyzes the effects of unemployment insurance (UI) benefits on unemployment exits and subsequent labor market outcomes. We exploit a piecewise linear relationship between the previous wage and UI benefits in Finland to identify the causal effects of the benefit level by using a...
Persistent link: https://www.econbiz.de/10011596873
In June 1995, the Swedish parliament decided to cut the replacement rate in unemployment insurance from 80 percent to 75 percent, a change that took effect on January 1, 1996. This paper examines how this change affected job finding rates among unemployed insured individuals. To identify the...
Persistent link: https://www.econbiz.de/10011573534
The issue of whether unemployment benefits should increase or decrease over the unemployment spell is analyzed in an analytically tractable model allowing moral hazard, adverse selection and hidden savings. Analytical results show that when the search productivity of unemployed is constant over...
Persistent link: https://www.econbiz.de/10011513998
This paper analyzes the design of optimal unemployment insurance in a search equilibrium framework where search e¤ort among the unemployed is not perfectly observable. We examine to what extent the optimal policy involves monitoring of search effort and benefit sanctions if observed search is...
Persistent link: https://www.econbiz.de/10011408413
Unemployment increased drastically over the course of the Great Recession from 4.5 percent prior to the recession to 10 … during the Great Recession and during the recovery can be attributed to cyclical factors rather than structural factors. The … Credits increased the likelihood of employment by about 4.7 percent for disconnected youth but had no effect on disabled and …
Persistent link: https://www.econbiz.de/10011288771
How does the threat of punishment in the unemployment insurance system affect job search behaviours and subsequent labour market outcomes? This paper uses a difference-in-differences design, leveraging the differential response of districts to sanctioning policy reform in the United Kingdom...
Persistent link: https://www.econbiz.de/10014344320
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...
Persistent link: https://www.econbiz.de/10014193610