Unemployment insurance design and its effects: evidence from de Uruguayan case
AbstractAbundant empirical evidence both for developed and developing countries finds that the design of unemployment insurance program may have important consequences on labor market outcomes. In particular, the design of UI system can affect both unemployment duration and employment outcomes. Recent changes in the design of the Uruguayan UI have implied modifications that may alter various labor market outcomes. In particular, we assess the impacts of the following modifications: the duration of UI was reduced from six to four months in the case of temporary laid off workers (suspension); the scheme of payments was changed for permanent laid off workers (job loss). Instead of a lump sum during six months, a decreasing scheme of payments was installed; and the duration of the UI can be extended up to one year for workers 50 or older.
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Bibliographic InfoPaper provided by Instituto de Economia - IECON in its series Documentos de Trabajo (working papers) with number 12-09.
Length: 35 pages
Date of creation: Sep 2012
Date of revision:
Unemployment insurance; Impact evaluation;
Find related papers by JEL classification:
- J65 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment Insurance; Severance Pay; Plant Closings
- J68 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Public Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-12-22 (All new papers)
- NEP-IAS-2012-12-22 (Insurance Economics)
- NEP-LAB-2012-12-22 (Labour Economics)
- NEP-LAM-2012-12-22 (Central & South America)
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- Verónica Amarante & Andrés Dean, 2012. "Dinámica del mercado laboral uruguayo," Documentos de Trabajo (working papers) 12-17, Instituto de Economia - IECON.
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