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Unemployment insurance, unemployment durations and re-employment wages

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Author Info
McCall, Brian
Chi, Wei

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Abstract

We develop an empirical model to estimate the impact of UI on unemployment duration and re-employment wages. The model estimates the UI receipt, unemployment duration and re-employment wage equations simultaneously, incorporates unobserved heterogeneity variables in each equation and allows them to be correlated. The NLSY79 data is used to estimate the model. Some results are found in support of the positive effect of UI on re-employment wages.

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File URL: http://www.sciencedirect.com/science/article/B6V84-4NYSXB2-4/1/36c3d8ca1cd1ad3816e6e160f1446399
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Publisher Info
Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 99 (2008)
Issue (Month): 1 (April)
Pages: 115-118
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Handle: RePEc:eee:ecolet:v:99:y:2008:i:1:p:115-118

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  1. Meyer, Bruce D, 1990. "Unemployment Insurance and Unemployment Spells," Econometrica, Econometric Society, vol. 58(4), pages 757-82, July. [Downloadable!] (restricted)
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  2. Addison, John T. & Blackburn, McKinley L., 2000. "The effects of unemployment insurance on postunemployment earnings," Labour Economics, Elsevier, vol. 7(1), pages 21-53, January. [Downloadable!] (restricted)
  3. Bruce K. Fallick, 1989. "Unemployment Insurance and the Rate of Re-Employment of Displaced Workers," UCLA Economics Working Papers 550, UCLA Department of Economics. [Downloadable!]
  4. Fallick, Bruce Chelimsky, 1991. "Unemployment Insurance and the Rate of Re-employment of Displaced Workers," The Review of Economics and Statistics, MIT Press, vol. 73(2), pages 228-35, May. [Downloadable!] (restricted)
  5. Card, David & Levine, Phillip B., 2000. "Extended benefits and the duration of UI spells: evidence from the New Jersey extended benefit program," Journal of Public Economics, Elsevier, vol. 78(1-2), pages 107-138, October. [Downloadable!] (restricted)
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  6. Ham, John C & Rea, Samuel A, Jr, 1987. "Unemployment Insurance and Male Unemployment Duration in Canada," Journal of Labor Economics, University of Chicago Press, vol. 5(3), pages 325-53, July. [Downloadable!] (restricted)
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