Duration of unemployment benefits and quality of post - unemployment jobs : evidence from a natural experiment

By: van Ours, Jan C
Contributor(s): Vodopivec, Milan
Material type: TextTextSeries: Policy Research Working Paper, no. 4031Publisher: Washington, D.C. World Bank 2006Description: 33 p.Subject(s): Unemployment | WagesDDC classification: 331.112 Summary: This paper investigates how the potential duration of unemployment benefits affects the quality of post-unemployment jobs. It takes advantage of a natural experiment introduced by a change in Slovenia's unemployment insurance law that substantially reduced the potential benefit duration. Although this reduction strongly increased job finding rates, the quality of the post-unemployment jobs remained unaffected. The paper finds that the law change had no effect on the type of contract (temporary versus permanent), the duration of the post-unemployment job, or the wage earned in the job. http://documents.worldbank.org/curated/en/238191468102543438/Duration-of-unemployment-benefits-and-quality-of-post-unemployment-jobs-evidence-from-a-natural-experiment
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This paper investigates how the potential duration of unemployment benefits affects the quality of post-unemployment jobs. It takes advantage of a natural experiment introduced by a change in Slovenia's unemployment insurance law that substantially reduced the potential benefit duration. Although this reduction strongly increased job finding rates, the quality of the post-unemployment jobs remained unaffected. The paper finds that the law change had no effect on the type of contract (temporary versus permanent), the duration of the post-unemployment job, or the wage earned in the job.

http://documents.worldbank.org/curated/en/238191468102543438/Duration-of-unemployment-benefits-and-quality-of-post-unemployment-jobs-evidence-from-a-natural-experiment

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