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Effects of changes in the unemployment insurance eligibility requirements on job duration - Swedish evidence

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Abstract

This paper investigates the impact of the unemployment insurance (UI) entrance requirement on employment duration in Sweden. I study employment spells in 1992, 1996, and 1998 to find behavioural adjustments in the timing of job separation. The results suggest that some adjustments have occured. Comparisons between years with different UI requirements support the conclusion. By using predicted hazard rates for each week, I calculate an approximate 3-week extension in the average duration of employment spells between 1996 and 1998.

Suggested Citation

  • Hägglund, Pathric, 2000. "Effects of changes in the unemployment insurance eligibility requirements on job duration - Swedish evidence," Working Paper Series 2000:4, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    • Handle: RePEc:hhs:ifauwp:2000_004
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    File URL: http://www.ifau.se/upload/pdf/se/to2000/wp00-4.pdf
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    1. Moffitt, Robert & Nicholson, Walter, 1982. "The Effect of Unemployment Insurance on Unemployment: The Case of Federal Supplemental Benefits," The Review of Economics and Statistics, MIT Press, vol. 64(1), pages 1-11, February.
    2. Green, David A & Riddell, W Craig, 1997. "Qualifying for Unemployment Insurance: An Empirical Analysis," Economic Journal, Royal Economic Society, vol. 107(440), pages 67-84, January.
    3. Michael Baker & Samuel A. Rea, 1998. "Employment Spells And Unemployment Insurance Eligibility Requirements," The Review of Economics and Statistics, MIT Press, vol. 80(1), pages 80-94, February.
    4. David A. Green & Timothy Sargent, 1998. "Unemployment Insurance and Job Durations: Seasonal and Non-Seasonal Jobs," Canadian Journal of Economics, Canadian Economics Association, vol. 31(2), pages 247-278, May.
    5. Christofides, Louis N & McKenna, C J, 1996. "Unemployment Insurance and Job Duration in Canada," Journal of Labor Economics, University of Chicago Press, vol. 14(2), pages 286-312, April.
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    Cited by:

    1. Michael White and Genevieve Knight, 2003. "Benchmarking the effectiveness of NDYP: A review of European and US literature on the microeconomic effects of labour market programmes for young people," PSI Research Discussion Series 10, Policy Studies Institute, UK.
    2. Barbara Sianesi, 2002. "An evaluation of the Swedish system of active labour market programmes in the 1990s," IFS Working Papers W02/01, Institute for Fiscal Studies.

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    More about this item

    Keywords

    Employment duration; Unemployment insurance;

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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