Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/21448
Authors: 
Lalive, Rafael
Zweimüller, Josef
Year of Publication: 
2002
Series/Report no.: 
IZA Discussion paper series 492
Abstract: 
The potential duration of benefits is generally viewed as an important determinant of unemployment duration. This paper evaluates a unique policy change that prolonged entitlement to regular unemployment benefits from 30 weeks to a maximum of 209 weeks for elderly individuals in certain regions of Austria. In the evaluation, we explicitly account for the fact that the program was an endogenous policy response to a crisis affecting individuals with severe labor market problems. The main results are: (i) REBP reduced the transition rate to jobs by 17 %; (ii) accounting for endogenous policy adoption is important and quantitatively significant.
Subjects: 
quasi-experiments
policy endogeneity
benefit entitlement
maximum benefit duration
unemployment duration
unemployment insurance
JEL: 
J65
J64
C41
Document Type: 
Working Paper

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