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Partial Unemployment Insurance Benefits and the Transition Rate to Regular Work


  • Kyyrä, Tomi


In Finland, unemployed workers who are looking for a full-time job but take up a part-time or very short full-time job may qualify for partial unemployment benefits. In exchange for partial benefits, these applicants must continue their search of regular full-time work. We analyze the implications of the experiences of partial unemployment for subsequent transitions to regular employment. We apply the "timing of events" approach to distinguish between causal and selectivity effects associated with the receipt of partial benefits. Our findings suggest that partial unemployment associated with short full-time jobs facilitates transitions to regular employment. Also part-time working on partial benefits may help in finding a regular job afterwards.

Suggested Citation

  • Kyyrä, Tomi, 2008. "Partial Unemployment Insurance Benefits and the Transition Rate to Regular Work," Discussion Papers 440, VATT Institute for Economic Research.
  • Handle: RePEc:fer:dpaper:440

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    References listed on IDEAS

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    Cited by:

    1. Petri Böckerman & Mika Maliranta, 2013. "Outsourcing, Occupational Restructuring, and Employee Well-Being: Is There a Silver Lining?," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 52(4), pages 878-914, October.
    2. Valerie Koh & Gillian Koh & Donald Low & Tan Min Wei, 2015. "The Politics of Sustaining Inclusive Growth and Social Inclusion," Working Papers id:7244, eSocialSciences.
    3. Kyyrä, Tomi & Parrotta, Pierpaolo & Rosholm, Michael, 2013. "The effect of receiving supplementary UI benefits on unemployment duration," Labour Economics, Elsevier, vol. 21(C), pages 122-133.
    4. Susanne Ek & Bertil Holmlund, 2015. "Part-time unemployment and optimal unemployment insurance," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 22(2), pages 201-223, April.
    5. Susanne Ek Spector, 2015. "Should unemployment insurance cover partial unemployment?," IZA World of Labor, Institute for the Study of Labor (IZA), pages 199-199, October.
    6. Stephan, Gesine & van den Berg, Gerard & Homrighausen, Pia, 2016. "Randomizing information on a targeted wage support program for older workers: A field experiment," Annual Conference 2016 (Augsburg): Demographic Change 145487, Verein für Socialpolitik / German Economic Association.


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