How Effective are Unemployment Benefit Sanctions? Looking Beyond Unemployment Exit

Details

Serval ID
serval:BIB_01433FA22FFE
Type
Article: article from journal or magazin.
Collection
Publications
Title
How Effective are Unemployment Benefit Sanctions? Looking Beyond Unemployment Exit
Journal
Journal of Applied Econometrics
Author(s)
Arni P., Lalive R., van Ours J.
ISSN
0883-7252
Publication state
Published
Issued date
11/2013
Peer-reviewed
Oui
Volume
28
Number
7
Pages
1153-1178
Language
english
Abstract
This paper provides a comprehensive evaluation of the effects of benefit sanctions on post-unemployment outcomes such as post-unemployment employment stability and earnings. We use rich register data which allow us to distinguish between a warning that a benefit reduction may take place in the near future and the actual withdrawal of unemployment benefits. Adopting a multivariate mixed proportional hazard approach to address selectivity, we find that warnings do not affect subsequent employment stability but do reduce post-unemployment earnings. Actual benefit reductions lower the quality of post-unemployment jobs both in terms of job duration as well as in terms of earnings. Copyright © 2012 John Wiley & Sons, Ltd.
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Create date
20/08/2012 14:52
Last modification date
20/08/2019 12:23
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