Potential duration of unemployment benefits and labor market outcomes for older workers with health impairments in Germany |
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Authors: | Inna Petrunyk Christian Pfeifer |
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Affiliation: | Institute of Economics, Leuphana University Lueneburg, Lueneburg, Germany |
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Abstract: | This research note estimates the causal effects of a cut in the potential duration of regular unemployment benefits for older workers in Germany on the labor market outcomes of individuals with health impairments. The analyzed reform is a natural experiment that allows a difference-in-differences strategy with treatment intensity. The results provide evidence for a significant decrease in the number of days in regular unemployment benefits and an increase in the number of days in employment. However, the results also suggest a significant increase in the number of days in unemployment (social) assistance, which are granted upon exhaustion of regular unemployment benefits. |
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Keywords: | difference-in-differences labor market reform policy evaluation unemployment insurance |
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