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Effects of Changes in the Unemployment Insurance Eligibility Requirements on Job Duration - Swedish Evidence

  • Hägglund, Pathric

    ()

    (Swedish Institute for Social Research, Stockholm University)

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    This paper investigates the impact of the unemployment insurance (UI) entrance re-quirement on employment duration among earlier unemployed in Sweden. I exploit changes in the rules taking place in 1994 and 1997 to study behavioural adjustments in the timing of job separation in 1992, 1996, and 1998 respectively. Performing across-year analyses with years involving different working requirements, I find evi-dence of clustering of job exits at the time of UI qualification. By using predicted hazard rates for each week, I calculate an approximate 2.9-week extension in average employment duration between 1996 and 1998, due to the 5-week prolonging of the entrance requirement.

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    Paper provided by Swedish Institute for Social Research in its series Working Paper Series with number 3/2007.

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    Length: 33 pages
    Date of creation: 22 Feb 2007
    Date of revision:
    Handle: RePEc:hhs:sofiwp:2007_003
    Contact details of provider: Postal: SOFI, Stockholm University, SE-10691 Stockholm, Sweden
    Phone: (0)8 - 16 32 48
    Fax: (0)8 - 15 46 70
    Web page: http://www.sofi.su.se/

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    1. Michael Baker & Samuel A. Rea, Jr., 1994. "Employment Spells and Unemployment Insurance Eligibility Requirements," Working Papers reas-95-02, University of Toronto, Department of Economics.
    2. David A. Green & Timothy Sargent, 1998. "Unemployment Insurance and Job Durations: Seasonal and Non-Seasonal Jobs," Canadian Journal of Economics, Canadian Economics Association, vol. 31(2), pages 247-278, May.
    3. Christofides, Louis N & McKenna, C J, 1996. "Unemployment Insurance and Job Duration in Canada," Journal of Labor Economics, University of Chicago Press, vol. 14(2), pages 286-312, April.
    4. Moffitt, Robert & Nicholson, Walter, 1982. "The Effect of Unemployment Insurance on Unemployment: The Case of Federal Supplemental Benefits," The Review of Economics and Statistics, MIT Press, vol. 64(1), pages 1-11, February.
    5. Green, David A & Riddell, W Craig, 1997. "Qualifying for Unemployment Insurance: An Empirical Analysis," Economic Journal, Royal Economic Society, vol. 107(440), pages 67-84, January.
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