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We analyze the effects of government-mandated severance payments in a rich life-cycle model with search-matching frictions in the labor market, risk-averse agents and imperfect insurance against idiosyncratic shocks. Our model emphasizes a tension between worker-firm wage bargains and...
Persistent link: https://www.econbiz.de/10012904593
The well-known positive relationship between the unemployment benefit level and unemployment duration can be separated … difficult to separate empirically, but the social optimality of an unemployment insurance policy can be evaluated by studying … the effect of a non-distortionary lump-sum severance grant on unemployment durations. In this study, I evaluate the …
Persistent link: https://www.econbiz.de/10011951926
We design and field an innovative survey of unemployment insurance (UI) recipients that yields new insights about wage … efficient separations that holds in leading theories of job separations, frictional unemployment, and job ladders. We draw on …
Persistent link: https://www.econbiz.de/10014325070
While many employees risk losing their job and having their career disrupted due to employers' financial distress, it is widely recognized that many leave their employer in anticipation of layoff. In this paper, we assess how employee costs of financial distress depend on employees learning and...
Persistent link: https://www.econbiz.de/10015075348
We study the effects of front-loading the payment of unemployment benefits in general equilibrium economies with … discuss robustness to changing the generosity, duration and eligibility of unemployment insurance. …
Persistent link: https://www.econbiz.de/10011096342
We study the effects of front-loading the payment of unemployment benefits in an equilibrium matching framework with … precautionary savings. Front-loading the benefit system trades off fewer means to smooth consumption at long unemployment durations …
Persistent link: https://www.econbiz.de/10011194223
Can the potential availability of unemployment insurance (UI) affect the behavior of employed workers and the duration … elasticity impacts welfare with a similar magnitude to the well-known elasticity of unemployment duration to benefit level. …
Persistent link: https://www.econbiz.de/10011705587
Unemployment benefits often reduce incentives to search for a job. Policymakers have responded to this behaviour by … setting minimum job search requirements, by monitoring to check that unemployment benefit recipients are engaged in the … search monitoring and benefit sanctions reduce unemployment duration and increase job entry in the short term. There is some …
Persistent link: https://www.econbiz.de/10011417039
We develop a model of job search and use it to assess the effects that the Brazilian unemployment benefit system has on … exit rates from unemployment. In our setup, unemployed workers receive job offers from the formal and informal sectors and … decide whether to accept them or wait. Only jobs in the formal sector come with unemployment benefits. After incorporating …
Persistent link: https://www.econbiz.de/10013130452
In response to the COVID-19 pandemic, Congress expanded unemployment insurance (UI) benefits in three ways. First, it … are eligible to receive UI via the Pandemic Unemployment Assistance (PUA) program. Third, it extended the duration of …
Persistent link: https://www.econbiz.de/10013217037