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Incentives and Disincentives: Analysing Welfare Mechanisms’ Effects on Job Search Behaviourjob search activity

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  • Simon Watkins

Abstract

This chapter bridges theory and empirical evidence by analysing the relationship between basic income welfare mechanisms and job search activities amongst unemployed people across ten European countries. Using fuzzy set qualitative comparative analysis (QCA), the analysis examines behaviours under a variety of welfare conditions. The analysis focuses on three key conditions: conditionality, accessibility, and participation tax rates. The findings reveal that work incentives have limited impact on job search intensity, whilst a specific combination of welfare conditions prove sufficient for low job search activity. The results highlight the importance of institutional context, administrative approaches, and complex causality in understanding how welfare systems influence labour market behaviours. The chapter offers important insights for basic income policy design by demonstrating that the behavioural effects of welfare mechanisms are neither linear nor deterministic but emerge from complex interactions within specific welfare ecosystems.

Suggested Citation

  • Simon Watkins, 2025. "Incentives and Disincentives: Analysing Welfare Mechanisms’ Effects on Job Search Behaviourjob search activity," Exploring the Basic Income Guarantee,, Palgrave Macmillan.
    • Handle: RePEc:pal:etbchp:978-3-031-99197-4_8
    DOI: 10.1007/978-3-031-99197-4_8
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