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Effects of Changes in the Unemployment Insurance Eligibility Requirements on Job Duration - Swedish Evidence

Author

Listed:
  • Hägglund, Pathric

    (Swedish Institute for Social Research, Stockholm University)

Abstract

This paper investigates the impact of the unemployment insurance (UI) entrance re-quirement on employment duration among earlier unemployed in Sweden. I exploit changes in the rules taking place in 1994 and 1997 to study behavioural adjustments in the timing of job separation in 1992, 1996, and 1998 respectively. Performing across-year analyses with years involving different working requirements, I find evi-dence of clustering of job exits at the time of UI qualification. By using predicted hazard rates for each week, I calculate an approximate 2.9-week extension in average employment duration between 1996 and 1998, due to the 5-week prolonging of the entrance requirement.

Suggested Citation

  • Hägglund, Pathric, 2007. "Effects of Changes in the Unemployment Insurance Eligibility Requirements on Job Duration - Swedish Evidence," Working Paper Series 3/2007, Stockholm University, Swedish Institute for Social Research.
    • Handle: RePEc:hhs:sofiwp:2007_003
    as

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    File URL: http://www.sofi.su.se/content/1/c6/03/09/74/WP07no3.pdf
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    References listed on IDEAS

    as
    1. 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.
    2. 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.
    3. 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.
    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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    More about this item

    Keywords

    -;

    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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