Imperfect Monitoring of Job Search: Structural Estimation and Policy Design

Arbeitspapier

We build and estimate a non-stationary structural job search model that incorporates the main stylized features of a typical job search monitoring scheme in unemployment insurance (UI) and acknowledges that search effort and requirements are measured imperfectly. Based on Belgian data, monitoring is found to affect search behavior only weakly, because (i) assessments were scheduled late and infrequently; (ii) the monitoring technology was not sufficiently precise, (iii) lenient Belgian UI results in caseloads that are less responsive to incentives than elsewhere. Simulations show how changing the aforementioned design features can enhance effectiveness and that precise monitoring is key in this.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: CESifo Working Paper ; No. 6323

Classification and Topics

• Classification: Wirtschaft ; Unemployment: Models, Duration, Incidence, and Job Search ; Mobility, Unemployment, and Vacancies: Public Policy ; Duration Analysis; Optimal Timing Strategies
• Subject: monitoring ; sanctions ; non-stationary job search ; unemployment benefits ; structural estimation

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Cockx, Bart ; Dejemeppe, Muriel ; Launov, Andrey ; der Linden, Bruno Van
• Event: Veröffentlichung
• (who): Center for Economic Studies and ifo Institute (CESifo)
• (where): Munich
• (when): 2017

Further information

• Handle: http://hdl.handle.net/10419/155565
• Last update: 10.03.2025, 11:46 AM CET