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Low Take-up Rates: The Role of Information

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  • Momi Dahan
  • Udi Nisan

Abstract

This paper exploits a quasi-natural experiment to study the role of information in determining take-up patterns of social benefits in a non-stigma environment. We find that take-up rate of households who have the incentive to search for information for a longer period of time is between 8 and 13 percentage points higher as compared to a control group of households. This result is robust to the inclusion of various household characteristics. Our finding provides strong empirical support for information as an important explanation for low take-up rates.

Suggested Citation

  • Momi Dahan & Udi Nisan, 2006. "Low Take-up Rates: The Role of Information," CESifo Working Paper Series 1829, CESifo.
    • Handle: RePEc:ces:ceswps:_1829
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    File URL: https://www.cesifo.org/DocDL/cesifo1_wp1829.pdf
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    References listed on IDEAS

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    Cited by:

    1. Terracol, Antoine, 2009. "Guaranteed minimum income and unemployment duration in France," Labour Economics, Elsevier, vol. 16(2), pages 171-182, April.
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    3. Zantomio, Francesca, 2008. "The route to take-up: raising incentives or lowering barriers?," ISER Working Paper Series 2008-35, Institute for Social and Economic Research.

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