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Fixing a Persistent Problem: Canada's Regional Pockets of Unemployment

Author

Listed:
  • Colin Busby

    (C.D. Howe Institute)

Abstract

Canada's Employment Insurance program pays weekly benefits to the unemployed that vary in generosity across regions. While the variable entrance requirements help deliver more benefits to seasonal workers, the mechanism spreads the generosity of benefits to all workers in a region, raising the costs of the program and hindering labour market adjustment.

Suggested Citation

  • Colin Busby, 2008. "Fixing a Persistent Problem: Canada's Regional Pockets of Unemployment," e-briefs 66, C.D. Howe Institute.
    • Handle: RePEc:cdh:ebrief:66
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    File URL: https://www.cdhowe.org/fixing-persistent-problem-canadas-regional-pockets-unemployment
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    More about this item

    Keywords

    social policy; Canadian EI program; employment insurance reform;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings

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