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Recent Trends in Insured and Uninsured Unemployment: Is There an Explanation?

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  • Rebecca M. Blank
  • David E. Card

Abstract

This paper explores the recent decline in the fraction of unemployed workers who receive unemployment insurance benefits. Using March Current Population Surveys, we compare the fraction who are potentially eligible for benefits with the fraction who receive them. The decline in insured unemployment is almost entirely due to a decline in the early 1980s in the takeup rate for benefits. We analyze the determinants of the takeup rate, using both aggregated state-level data and micro-data. At least half the decline is due to an increasing share of unemployment in states with lower takeup rates.

Suggested Citation

  • Rebecca M. Blank & David E. Card, 1991. "Recent Trends in Insured and Uninsured Unemployment: Is There an Explanation?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 106(4), pages 1157-1189.
    • Handle: RePEc:oup:qjecon:v:106:y:1991:i:4:p:1157-1189.
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    References listed on IDEAS

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    1. Gary Burtless, 1983. "Why Is Insured Unemployment So Low?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 14(1), pages 225-254.
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    JEL classification:

    • G10 - Financial Economics - - General Financial Markets - - - General (includes Measurement and Data)

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