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The effect of government-mandated benefits on youth unemployment

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  • Robert Kaestner

Abstract

The author empirically examines the effect on youth employment of government-mandated employer-provided benefits. In particular, he investigates the effect of unemployment compensation insurance taxes and workers' compensation insurance mandates on the employment of youths (aged 16-19) and young adults (aged 20-24 and 25-34). An analysis of time series state aggregate data for the years 1982-89 indicates that a one percentage point increase in the employer's cost of workers' compensation insurance reduced employment for both teenagers and young adults by about 1.5 percentage points. Unemployment insurance taxes significantly decreased the employment of teenagers, but not that of young adults. (Abstract courtesy JSTOR.)

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Bibliographic Info

Article provided by ILR Review, Cornell University, ILR School in its journal ILR Review.

Volume (Year): 50 (1996)
Issue (Month): 1 (October)
Pages: 122-142

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Handle: RePEc:ilr:articl:v:50:y:1996:i:1:p:122-142

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Cited by:
  1. Kelly Edmiston, 2005. "Worker's compensation and state employment growth," Community Affairs Research Working Paper 2005-04, Federal Reserve Bank of Kansas City.
  2. Thomas C. Buchmueller & John DiNardo & Robert G. Valletta, 2009. "The effect of an employer health insurance mandate on health insurance coverage and the demand for labor: evidence from Hawaii," Working Paper Series 2009-08, Federal Reserve Bank of San Francisco.
  3. Chau-kiu Cheung & Kwok Leung, 2010. "Ways that Social Change Predicts Personal Quality of Life," Social Indicators Research, Springer, vol. 96(3), pages 459-477, May.
  4. Carrie H. Colla & William H. Dow & Arindrajit Dube, 2011. "The Labor Market Impact of Employer Health Benefit Mandates: Evidence from San Francisco’s Health Care Security Ordinance," NBER Working Papers 17198, National Bureau of Economic Research, Inc.

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