Is unemployment insurance addictive? Evidence from the benefit durations of repeat users
AbstractThe author finds evidence that the past occurrence of a spell of insured unemployment lengthens the duration of future spells. Descriptive statistics from Canadian administrative data covering mid-1971 to early 1990 suggest that unemployment insurance (UI) claimants tend to spend a longer and longer time collecting benefits with each additional claim they make. This finding contradicts the implication of static neoclassical models that successive UI spells should be of the same length. The author hypothesizes that the stigma attached to receiving unemployment benefits erodes with each new UI claim an individual files. (Abstract courtesy JSTOR.)
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Bibliographic InfoArticle provided by ILR Review, Cornell University, ILR School in its journal ILR Review.
Volume (Year): 47 (1993)
Issue (Month): 1 (October)
Postal: 381 Ives East, Cornell University, Ithaca, NY 14853-3901
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- Choi, HwaJung & Shin, Donggyun, 2002. "Do past unemployment spells affect the duration of current unemployment?," Economics Letters, Elsevier, vol. 77(2), pages 157-161, October.
- Bjorn, Gustafsson Corak, Miles Gustafsson, Bjorn Osterberg, Torun, 2001.
"Intergenerational Influences on the Receipt of Unemployment Insurance in Canada and Sweden,"
Analytical Studies Branch Research Paper Series
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- Corak, Miles Chen, Wen-Hao, 2005. "Entreprises, industries et assurance-chomage : une analyse des donnees sur les employeurs et les employes recueillies au Canada," Direction des etudes analytiques : documents de recherche 2005260f, Statistics Canada, Direction des etudes analytiques.
- Corak, Miles Chen, Wen-Hao, 2005. "Firms, Industries, and Unemployment Insurance: An Analysis Using Employer-employee Data from Canada," Analytical Studies Branch Research Paper Series 2005260e, Statistics Canada, Analytical Studies Branch.
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