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Effects of Manpower Policies on Duration Dependence in Re-employment Rates: The Example of Sweden

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  • Korpi, Tomas
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    Abstract

    In contrast to the evidence from other countries, Swedish studies of the transition from unemployment to employment have consistently reported a nonnegative duration dependence in the hazard. This study examines the extent to which this results from large scale labor market programs, a limited duration of unemployment benefits, or differences among available jobs. The labor market programs are here found to be the primary factor behind the earlier Swedish results. The programs thus pick up those with the worst employment prospects, thereby postponing a decrease in the reemployment probability among job searchers. This in turn generates an on 'average' constant duration dependence. Copyright 1995 by The London School of Economics and Political Science.

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    Bibliographic Info

    Article provided by London School of Economics and Political Science in its journal Economica.

    Volume (Year): 62 (1995)
    Issue (Month): 247 (August)
    Pages: 353-71

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    Handle: RePEc:bla:econom:v:62:y:1995:i:247:p:353-71

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    Cited by:
    1. Pieter Serneels, 2008. "Unemployment duration, job search and labour market segmentation Evidence from urban Ethiopia," CSAE Working Paper Series 2008-17, Centre for the Study of African Economies, University of Oxford.
    2. Pieter Serneels, 2004. "The Nature of Unemployment in Urban Ethiopia," Development and Comp Systems 0409042, EconWPA.
    3. Pieter Serneels, 2002. "Explaining Non-Negative Duration Dependence Among the Unemployed," Economics Series Working Papers WPS/2002-13, University of Oxford, Department of Economics.
    4. Bratberg, Espen & Vaage, Kjell, 2000. "Spell durations with long unemployment insurance periods," Labour Economics, Elsevier, vol. 7(2), pages 153-180, March.
    5. Mark C. Foley, 1997. "Determinants of Unemployment Duration in Russia," Working Papers 779, Economic Growth Center, Yale University.
    6. Meta Brown & Christopher J. Flinn & Andrew Schotter, 2009. "Real-time search in the laboratory and the market," Staff Reports 410, Federal Reserve Bank of New York.
    7. Maria Teresa Gonzalo & Jan Saarela, 2000. "Gender differences in exit rates from unemployment: evidence from," Finnish Economic Papers, Finnish Economic Association, vol. 13(2), pages 129-139, Autumn.
    8. J. Richardson, 1997. "Can active labour market policy work? Some theoretical considerations," LSE Research Online Documents on Economics 20354, London School of Economics and Political Science, LSE Library.
    9. J Richardson, 1997. "Can Active Labour Market Policy Work? Some Theoretical Considerations," CEP Discussion Papers dp0331, Centre for Economic Performance, LSE.

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