uu.seUppsala University Publications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Unemployment benefit generosity in a life-cycle model with endogenous job-serch effort
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
2018 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Unemployment in Austria has been considerably low in the past decades compared to other European countries. Nevertheless, recent increases in the past five years started a controversial discussion about the generous unemployment insurance system in place. The current government, therefore, argues to change the insurance system similar to the German HARTZ IV reform, although the effects on unemployment have proven to be ambiguous in Germany. I introduce a discrete time life-cycle model with endogenous job-search effort to inquire the potential effects of such a reform on long- and shortterm unemployment, as well as individuals’ job-search incentives. Individuals are ex-ante heterogeneous in their labour income possibilities and are subject to exogenous layoffs throughout their life. The model suggests that the proposed reform would reduce longterm unemployment substantially, however, to the cost of a larger amount of short-term unemployment spells and decreased overall welfare. Job-search effort over the whole lifecycle appears to increase, with the largest differences at the end of the life-cycle.

Place, publisher, year, edition, pages
2018.
Keywords [en]
Life-cycle, unemployment insurance, job-search, effort, unemployment benefits, labour market reform
National Category
Economics
Identifiers
URN: urn:nbn:se:uu:diva-356932OAI: oai:DiVA.org:uu-356932DiVA, id: diva2:1237485
Supervisors
Examiners
Available from: 2018-08-09 Created: 2018-08-09 Last updated: 2018-08-09Bibliographically approved

Open Access in DiVA

No full text in DiVA

By organisation
Department of Economics
Economics

Search outside of DiVA

GoogleGoogle Scholar

urn-nbn

Altmetric score

urn-nbn
Total: 70 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf