Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/108755
Authors: 
Nagl, Wolfgang
Weber, Michael
Year of Publication: 
2014
Series/Report no.: 
Ifo Working Paper 186
Abstract: 
In 2005, the unemployment benefits for long-term unemployed were reduced inGermany. We investigate the effect of this reform on the transition probability fromunemployment to employment using a large German administrative spell data set (SIAB1975–2010). We estimate that the daily transition probability of medium wage earnersincreased on average by 24% after the reform. The effect is lower for both, low and highwage earners. Men were less affected than women and West Germans were less affectedthan East Germans. For short-term unemployed the effect is increasing over unemploymentduration while long-term unemployed apparently did not benefit from the reform.
Subjects: 
Duration analysis
hazard rate
unemployment benefit
Hartz reform
JEL: 
J64
J68
Document Type: 
Working Paper

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