Search behaviour and unemployment income: evidence using Danish unemployment assistance data
نویسنده
چکیده
Danish unemployment assistance increases by 70% when individual becomes 25 years old. This feature is used to identify the effect of income on the receipients of unemployment assistance. Competing-risks duration models are used. The semiparametric estimates cease to find any effect on the hazard rate around age 25. The parametric differences-in-differences estimate suggests the presence of a significant negative income effect for females, the effect for males is positive but insignificant. The income elasticity of the hazard rate into employment is -0.4 for females, the results for transitions to non-participation are insignificant.
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