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Bounds analysis of competing risks: a non-parametric evaluation of the effect of unemployment benefits on migration

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  • Melanie Arntz

    ()

  • Simon Lo

    ()

  • Ralf Wilke

    ()

Abstract

By reexamining the effect of unemployment benefits on reemployment probabilities we make two contributions to the literature: first, we estimate separate effects for reemployment in the local or a distant region. Second, we address the problem of incomplete duration within a competing risks model. Our results confirm that missing data problems at first preclude any meaningful result even though we have access to daily individual data on 50 % of the male workforce in Germany. When we impose additional assumptions, we obtain evidence that the treatment effect depends on the household context, the treatment intensity and the destination state. Copyright Springer-Verlag Berlin Heidelberg 2014

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Bibliographic Info

Article provided by Springer in its journal Empirical Economics.

Volume (Year): 46 (2014)
Issue (Month): 1 (February)
Pages: 199-228

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Handle: RePEc:spr:empeco:v:46:y:2014:i:1:p:199-228

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Related research

Keywords: Cumulative incidence curve; Administrative data; Difference-in-differences; C41; C14; J61;

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  1. Boone, Jan & Fredriksson, Peter & Holmlund, Bertil & van Ours, Jan C, 2001. "Optimal Unemployment Insurance with Monitoring and Sanctions," CEPR Discussion Papers 3082, C.E.P.R. Discussion Papers.
  2. Pissarides, Christopher A & Wadsworth, Jonathan, 1989. "Unemployment and the Inter-regional Mobility of Labour," Economic Journal, Royal Economic Society, vol. 99(397), pages 739-55, September.
  3. Lee, Sokbae & Wilke, Ralf A., 2005. "Reform of Unemployment Compensation in Germany: A Nonparametric Bounds Analysis Using Register Data," ZEW Discussion Papers 05-29, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  4. Christian Bontemps & Thierry Magnac & Eric Maurin, 2012. "Set Identified Linear Models," Econometrica, Econometric Society, vol. 80(3), pages 1129-1155, 05.
  5. Kruppe, Thomas & Müller, Eva & Wichert, Laura & Wilke, Ralf A., 2007. "On the Definition of Unemployment and its Implementation in Register Data: The Case of Germany," ZEW Discussion Papers 07-041, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  6. Simon M. S. Lo & Ralf Wilke, . "A copula model for dependent competing risks," Discussion Papers 09/01, University of Nottingham, School of Economics.
  7. Frederick J. Tannery, 1983. "Search Effort and Unemployment Insurance Reconsidered," Journal of Human Resources, University of Wisconsin Press, vol. 18(3), pages 432-440.
  8. Kiefer, Nicholas M, 1988. "Economic Duration Data and Hazard Functions," Journal of Economic Literature, American Economic Association, vol. 26(2), pages 646-79, June.
  9. Arntz, Melanie & Wilke, Ralf A., 2006. "Unemployment duration in Germany: individual and regional determinants of local job finding, migration and subsidized employment," ZEW Discussion Papers 06-92, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  10. Hunt, Jennifer, 1995. "The Effect of Unemployment Compensation on Unemployment Duration in Germany," Journal of Labor Economics, University of Chicago Press, vol. 13(1), pages 88-120, January.
  11. Tatsiramos, Konstantinos, 2004. "Geographic Labour Mobility and Unemployment Insurance in Europe," IZA Discussion Papers 1253, Institute for the Study of Labor (IZA).
  12. Jackman, Richard & Savouri, Savvas, 1992. "Regional Migration in Britain: An Analysis of Gross Flows Using NHS Central Register Data," Economic Journal, Royal Economic Society, vol. 102(415), pages 1433-50, November.
  13. Ghatak, Subrata & Levine, Paul & Price, Stephen Wheatley, 1996. " Migration Theories and Evidence: An Assessment," Journal of Economic Surveys, Wiley Blackwell, vol. 10(2), pages 159-98, June.
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