Arbeitspapier
The Effects of Unemployment Assistance on Unemployment Exits
Many countries have a two-tiered unemployment compensation system which provides earnings-related unemployment insurance for a limited period of time and less generous unemployment assistance thereafter. This study evaluates the effects of a reform in Finland that increased the level of unemployment assistance by 22%. The reform led to a drop of 9% in the unemployment exit hazard, which can be attributed to fewer exits to both employment and inactivity. The implied elasticities suggest that a 10% increase in unemployment assistance reduces the unemployment exit hazard by 4% and the job finding hazard by 6%. These effects are relatively small compared to the existing evidence on the effects of unemployment insurance benefits.
- Sprache
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Englisch
- Erschienen in
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Series: IZA Discussion Papers ; No. 14194
- Klassifikation
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Wirtschaft
Unemployment: Models, Duration, Incidence, and Job Search
Mobility, Unemployment, and Vacancies: Public Policy
- Thema
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unemployment assistance
labor market subsidy
hazard rate
unemployment duration
- Ereignis
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Geistige Schöpfung
- (wer)
-
Kyyrä, Tomi
- Ereignis
-
Veröffentlichung
- (wer)
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Institute of Labor Economics (IZA)
- (wo)
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Bonn
- (wann)
-
2021
- Handle
- Letzte Aktualisierung
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10.03.2025, 11:42 MEZ
Datenpartner
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Objekttyp
- Arbeitspapier
Beteiligte
- Kyyrä, Tomi
- Institute of Labor Economics (IZA)
Entstanden
- 2021