How Changes in Unemployment Benefit Duration Affect the Inflow Into Unemployment

J.C. van Ours, S. Tuit

Research output: Working paperDiscussion paperOther research output

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Abstract

We study how changes in the maximum benefit duration affec the inow into unemployment in the Netherlands. Until August 2003, workers who became un- employed after age 57.5 were entitled to unemployment benefits until the age of 65, after which they would receive old age pensions. This characteristic made it attractive for workers to enter unemployment shortly after age 57.5 rather than shortly before. Indeed, we find a peak in the inow into unemployment for workers after age 57.5. From August 2003 onwards the maximum benefit durations were reduced. We find that shortly after 2003 the peak in the inow disappeared.
Original languageEnglish
Place of PublicationTilburg
PublisherMicroeconomics
Number of pages20
Volume2010-07
Publication statusPublished - 2010

Publication series

NameCentER Discussion Paper
Volume2010-07

Keywords

  • Unemployment insurance
  • potential benefit duration
  • unemployment inflow

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