Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/69471
Authors: 
Wulfgramm, Melike
Fervers, Lukas
Year of Publication: 
2013
Series/Report no.: 
Discussion Paper Series, Forschungsinstitut zur Zukunft der Arbeit 7193
Abstract: 
This paper analyses the effect of unemployment insurance generosity and active labour market policy on reemployment stability in Europe. Using EU-SILC and OECD data, we conduct discrete time survival analyses with shared frailty specification to identify policy effects at the micro and macro level. Empirical evidence suggests that unemployment benefit receipt is associated with longer reemployment duration at the individual level. Furthermore, countries with more generous unemployment insurance and higher ALMP spending show a more sustainable reintegration record of previously unemployed workers. These results point to a policy trade-off between the well - confirmed disincentive and locking - in effect of unemployment benefits and ALMP programmes on the one hand, and their positive effect on reemployment stability on the other hand.
Subjects: 
post-unemployment employment stability
job match quality
reemployment duration
active labour market policy
unemployment benefits
JEL: 
J64
J65
J68
Document Type: 
Working Paper

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