Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/123443 
Year of Publication: 
2013
Series/Report no.: 
WWZ Discussion Paper No. 2013/01
Publisher: 
University of Basel, Center of Business and Economics (WWZ), Basel
Abstract: 
This paper quantifies the impact of the Hartz reforms on matching efficiency, using monthly SOEP gross worker flows (1983-2009). We show that, until the early 2000s, close to 60% of changes in the unemployment rate are due to changes in the inflow rate (job separation). On the contrary, since the implementation of the reforms in the mid-2000s, the importance of the outflow rate (job finding) has been steadily increasing. This indicates that matching efficiency has improved substantially in recent years. Results from an estimated matching function — pointing to efficiency gains of more than 20% — corroborate this finding.
Subjects: 
SOEP gross worker flows
Hartz reform
matching efficiency
unemployment fluctuations
JEL: 
E24
E32
J63
J64
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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