The effect of receiving supplementary UI benefits on unemployment duration

Tomi Kyyrä, Pierpaolo Parrotta and Michael Rosholm

No 1, Working Papers from VATT Institute for Economic Research

Abstract: We consider the consequences of working part-time on supplementary unemployment insurance benefits in the Danish labour market. Following the 'timing-of-events' approach we estimate causal effects of subsidized part-time work on the hazard rate out of unemployment insurance benefit receipt. We find evidence of a negative lock-in effect and a positive post-treatment effect, both of which vary across individuals. The resulting net effect on the expected unemployment duration is positive for some groups (e.g. married women) and negative for others (e.g. young workers).

Keywords: Unemployment benefits, part-time work, lock-in effect, treatment effect, duration analysis, Labour market, Työmarkkinat, Social security, Sosiaaliturva, Labor market and policies promoting economic growth, Työmarkkinat ja kasvua tukeva politiikka, C410 - Duration Analysis, J650 - Unemployment Insurance; Severance Pay; Plant Closings, (search for similar items in EconPapers)
Date: 2009
New Economics Papers: this item is included in nep-ias and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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https://www.doria.fi/handle/10024/148740

Related works:
Journal Article: The effect of receiving supplementary UI benefits on unemployment duration (2013)
Working Paper: The Effect of Receiving Supplementary UI Benefits on Unemployment Duration (2013)
Working Paper: The Effect of Receiving Supplementary UI Benefits on Unemployment Duration (2009)
Working Paper: The Effect of Receiving Supplementary UI Benefits on Unemployment Duration (2009)
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