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Title:Unemployment benefits and the duration of unemployment in East Germany PDF Logo
Authors:Wolff, Joachim
Issue Date:2003
Series/Report no.:Discussion paper // Sonderforschungsbereich 386 der Ludwig-Maximilians-Universität München 344
Abstract:This paper studies the impact of unemployment benefits on unemployment duration for East Germany using data from the German Socio-Economic Panel. It concentrates on exit from unemployment into employment. Estimation results of a discrete-time hazard rate model imply that moderate cuts in the replacement rate raise the hazards by little. The effect of the replacement rate on the hazards becomes weaker the longer people are unemployed. The threat of periods of benefit sanction could explain this. The hazards are not generally declining in time until exhausting unemployment insurance (UI) benefits, but rise just prior to exhausting UI.
Subjects:Unemployment duration
hazard rate
unemployment benefit
East Germany
JEL:C41
J64
J65
Persistent Identifier of the first edition:urn:nbn:de:bvb:19-epub-1720-4
Document Type:Working Paper
Appears in Collections:Discussion papers, SFB 386, LMU München

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