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The Effect of Punitive Sanctions on the Transition Rate from Welfare to Work: Evidence from Denmark

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  • Qureshi, Atef

    (Finansministeriet)

Abstract

Applying a mixed proportional hazard timing-of-events model in the confines of a search model punitive sanctions are in the current study found to have positive effect on the transition rate from welfare to work. Furthermore, the empirical analysis of this paper shows that the magnitude of this positive effect depends on the type of sanction. This effect diminishes over time and is heterogeneous. Finally, the existence of alternate »escape routes« from the welfare system, other than employment, does not undermine the positive effect of a sanction.

Suggested Citation

  • Qureshi, Atef, 2013. "The Effect of Punitive Sanctions on the Transition Rate from Welfare to Work: Evidence from Denmark," Nationaløkonomisk tidsskrift, Nationaløkonomisk Forening, vol. 2013(2), pages 225-246.
    • Handle: RePEc:hhs:jdaecn:0039
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    References listed on IDEAS

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    1. Anne Britt Djuve & Hanne Cecilie Kavli, 2019. "Refugee integration policy the Norwegian way – why good ideas fail and bad ideas prevail," Transfer: European Review of Labour and Research, , vol. 25(1), pages 25-42, February.

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    Keywords

    welfare;

    JEL classification:

    • A10 - General Economics and Teaching - - General Economics - - - General

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