Arbeitspapier

The determination of unemployment benefits

While much empirical research has been done on the labour market consequences of unemployment benefits, there is remarkably little evidence on the forces determining benefits. The paper presents a simple model where workers desire insurance against the possibility of unemployment and unemployment benefits increase the unemployment rate. We then conduct, what we believe, is one of the first empirical analyses of the determinants of the parameters of the unemployment benefit system. Using OECD data for 1971-1989, controlling for year and country fixed effects, and controlling for the political colour of the government, we find evidence suggesting that benefits fall when the unemployment rate is high. This is consistent with the tax-effect described in Wright (1986) and Atkinson (1990). There is weaker evidence that benefits increase with positive changes in the unemployment rate, which may be proxying for the inflow rate and could be called an insurance effect.

Sprache
Englisch

Erschienen in
Series: ZEI Working Paper ; No. B 04-2001

Klassifikation
Wirtschaft
National Government Expenditures and Welfare Programs
Unemployment Insurance; Severance Pay; Plant Closings
Thema
endogenous unemployment benefits
unemployment
politics
Arbeitslosenversicherung
Arbeitslosigkeit
Arbeitsmarktpolitik
Zeitpräferenz
Theorie
OECD-Staaten

Ereignis
Geistige Schöpfung
(wer)
DiTella, Rafael
MacCulloch, Robert
Ereignis
Veröffentlichung
(wer)
Rheinische Friedrich-Wilhelms-Universität Bonn, Zentrum für Europäische Integrationsforschung (ZEI)
(wo)
Bonn
(wann)
2001

Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • DiTella, Rafael
  • MacCulloch, Robert
  • Rheinische Friedrich-Wilhelms-Universität Bonn, Zentrum für Europäische Integrationsforschung (ZEI)

Entstanden

  • 2001

Ähnliche Objekte (12)