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Rising UI Benefits over Time

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Author Info

  • Tomer Blumkin

    ()
    (Department of Economics,Ben-Gurion University of the Negev)

  • Efraim Sadka

    ()
    (The Eitan Berglas School of Economics, Tel Aviv University)

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    Abstract

    We re-examine a key result in the optimal UI literature that benefits should decline over time. We show that when the population is heterogeneous, Pareto-efficiency may call for multiple payment schedules, some with benefits that fall over time and some with benefits that rise over time.

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    File URL: http://www.ec.bgu.ac.il/monaster/admin/papers/0807.pdf
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    Bibliographic Info

    Paper provided by Ben-Gurion University of the Negev, Department of Economics in its series Working Papers with number 0807.

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    Length: 23 pages
    Date of creation: 2008
    Date of revision:
    Handle: RePEc:bgu:wpaper:0807

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    Related research

    Keywords: Optimal Taxation; Re-distribution; Unemployment Insurance; Inequality;

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