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Work incentives? Ex-post effects of unemployment insurance sanctions : evidence from West Germany


  • Hofmann, Barbara

    () (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])


"Unemployment insurance (UI) sanctions in the form of benefit reductions are intended to set disincentives for UI recipients to stay unemployed. Empirical evidence about the effects of UI sanctions in Germany is sparse. Using administrative data we investigate the effects of sanctions on the reemployment probability in West Germany for individuals who entered UI receipt between April 2000 and March 2001. By applying a matching approach that takes timing of events into account, we identify the ex post effect of UI sanctions. As a robustness check a difference-in-differences matching estimator is applied. The results indicate positive effects on the employment probability in regular employment for both women and men." (Author's abstract, IAB-Doku) ((en))

Suggested Citation

  • Hofmann, Barbara, 2008. "Work incentives? Ex-post effects of unemployment insurance sanctions : evidence from West Germany," IAB Discussion Paper 200843, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  • Handle: RePEc:iab:iabdpa:200843

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    References listed on IDEAS

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    Cited by:

    1. Patrick Arni & Rafael Lalive & Jan C. Van Ours, 2013. "How Effective Are Unemployment Benefit Sanctions? Looking Beyond Unemployment Exit," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 28(7), pages 1153-1178, November.

    More about this item


    Arbeitslosenversicherung; Sanktion; Leistungskürzung - Auswirkungen; Arbeitslosigkeitsdauer; Arbeitslose; Arbeitsuche; Arbeitsplatzsuchtheorie; matching; Arbeitsanreiz; Sperrzeit; Westdeutschland; Bundesrepublik Deutschland;

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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