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Unemployment Insurance and Job Duration in Canada

Listed author(s):
  • Christofides, Louis N
  • McKenna, C J

The authors use data from the Canadian two-year longitudinal Labour Market Activity Survey of 1986-87 to estimate the effect of the Unemployment Insurance (UI) system on job duration. Particular attention is focused on the 'entrance requirements' of the UI system, which relate eligibility for UI benefits to an individual's recent employment history. The article makes operational the UI entrance requirement provisions which take into account variations in the regional unemployment rate. Controlling for many personal and job characteristics, the authors find evidence that a significant number of jobs terminate when they have reached the duration that would permit a UI claim. Copyright 1996 by University of Chicago Press.

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File URL: http://dx.doi.org/10.1086/209812
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Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 14 (1996)
Issue (Month): 2 (April)
Pages: 286-312

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Handle: RePEc:ucp:jlabec:v:14:y:1996:i:2:p:286-312
Contact details of provider: Web page: http://www.journals.uchicago.edu/JOLE/

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  1. Hashimoto, Masanori & Raisian, John, 1985. "Employment Tenure and Earnings Profiles in Japan and the United States," American Economic Review, American Economic Association, vol. 75(4), pages 721-735, September.
  2. Meitzen, Mark E, 1986. "Differences in Male and Female Job-quitting Behavior," Journal of Labor Economics, University of Chicago Press, vol. 4(2), pages 151-167, April.
  3. Dale T. Mortensen, 1977. "Unemployment Insurance and Job Search Decisions," ILR Review, Cornell University, ILR School, vol. 30(4), pages 505-517, July.
  4. Jones, Stephen R G & Riddell, W Craig, 1995. "The Measurement of Labor Force Dynamics with Longitudinal Data: The Labour Market Activity Survey Filter," Journal of Labor Economics, University of Chicago Press, vol. 13(2), pages 351-385, April.
  5. Kiefer, Nicholas M, 1988. "Economic Duration Data and Hazard Functions," Journal of Economic Literature, American Economic Association, vol. 26(2), pages 646-679, June.
  6. Layard, Richard & Nickell, Stephen & Jackman, Richard, 2005. "Unemployment: Macroeconomic Performance and the Labour Market," OUP Catalogue, Oxford University Press, number 9780199279173.
  7. McDonald, James B, 1984. "Some Generalized Functions for the Size Distribution of Income," Econometrica, Econometric Society, vol. 52(3), pages 647-663, May.
  8. Ham, John C & Rea, Samuel A, Jr, 1987. "Unemployment Insurance and Male Unemployment Duration in Canada," Journal of Labor Economics, University of Chicago Press, vol. 5(3), pages 325-353, July.
  9. Heckman, James J. & Singer, Burton, 1984. "Econometric duration analysis," Journal of Econometrics, Elsevier, vol. 24(1-2), pages 63-132.
  10. Kim B. Clark & Lawrence H. Summers, 1979. "Labor Market Dynamics and Unemployemnt: A Reconsideration," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 10(1), pages 13-72.
  11. Stephen W. Salant, 1977. "Search Theory and Duration Data: A Theory of Sorts," The Quarterly Journal of Economics, Oxford University Press, vol. 91(1), pages 39-57.
  12. George L. Perry, 1972. "Unemployment Flows in the U.S. Labor Market," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 3(2), pages 245-292.
  13. Gritz, R. Mark, 1993. "The impact of training on the frequency and duration of employment," Journal of Econometrics, Elsevier, vol. 57(1-3), pages 21-51.
  14. Farber, Henry S, 1994. "The Analysis of Interfirm Worker Mobility," Journal of Labor Economics, University of Chicago Press, vol. 12(4), pages 554-593, October.
  15. McDonald, James B & Butler, Richard J, 1987. "Some Generalized Mixture Distributions with an Application to Unemployment Duration," The Review of Economics and Statistics, MIT Press, vol. 69(2), pages 232-240, May.
  16. Robert H. Topel & Michael P. Ward, 1992. "Job Mobility and the Careers of Young Men," The Quarterly Journal of Economics, Oxford University Press, vol. 107(2), pages 439-479.
  17. Hamermesh, Daniel S, 1979. "Entitlement Effects, Unemployment Insurance and Employment Decisions," Economic Inquiry, Western Economic Association International, vol. 17(3), pages 317-332, July.
  18. McLaughlin, Kenneth J, 1990. "General Productivity Growth in a Theory of Quits and Layoffs," Journal of Labor Economics, University of Chicago Press, vol. 8(1), pages 75-98, January.
  19. Akerlof, George A & Main, Brian G M, 1981. "An Experience-Weighted Measure of Employment and Unemployment Durations," American Economic Review, American Economic Association, vol. 71(5), pages 1003-1011, December.
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