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Enfranchisement and the welfare state: Institutional design of unemployment compensation


  • Kim, Wonik


This paper examines the relationship between various political mechanisms and the variation in unemployment compensation programs (i.e., compulsory, voluntary, and assistance programs). I argue that the choice of a specific unemployment compensation program over others depends on the level of franchise extension. Using a multinomial logit analysis of 13 European countries from 1880 to 1945, I find that among other political mechanisms, franchise extension had the greatest impact on the likelihood of instituting unemployment compensation, controlling socio-economic factors. Greater enfranchisement is associated with a higher probability of choosing a compulsory program, but not a voluntary one.

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  • Kim, Wonik, 2008. "Enfranchisement and the welfare state: Institutional design of unemployment compensation," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(4), pages 1660-1678, August.
  • Handle: RePEc:eee:soceco:v:37:y:2008:i:4:p:1660-1678

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    References listed on IDEAS

    1. Deirdre N. McCloskey & Stephen T. Ziliak, 1996. "The Standard Error of Regressions," Journal of Economic Literature, American Economic Association, vol. 34(1), pages 97-114, March.
    2. Holmlund, Bertil, 1998. " Unemployment Insurance in Theory and Practice," Scandinavian Journal of Economics, Wiley Blackwell, vol. 100(1), pages 113-141, March.
    3. repec:cup:apsrev:v:95:y:2001:i:04:p:859-874_40 is not listed on IDEAS
    4. Lindert,Peter H., 2009. "Growing Public," Cambridge Books, Cambridge University Press, number 9780521529174, March.
    5. Herron, Michael C., 1999. "Postestimation Uncertainty in Limited Dependent Variable Models," Political Analysis, Cambridge University Press, vol. 8(01), pages 83-98, January.
    6. Esping-Andersen, Gosta, 1999. "Social Foundations of Postindustrial Economies," OUP Catalogue, Oxford University Press, number 9780198742005, June.
    7. William D. Nordhaus, 1975. "The Political Business Cycle," Review of Economic Studies, Oxford University Press, vol. 42(2), pages 169-190.
    8. Atkinson, Anthony B & Micklewright, John, 1991. "Unemployment Compensation and Labor Market Transitions: A Critical Review," Journal of Economic Literature, American Economic Association, vol. 29(4), pages 1679-1727, December.
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