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Does unemployment insurance offer incentives to take jobs in the formal sector? : unemployment insurance can protect against income loss and create formal employment
Bosch, Mariano - 2016
achieving coverage in countries with high informality, financing the scheme without further distorting the labor market, and …
Persistent link: https://www.econbiz.de/10011549787
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Informal labor markets in times of pandemic: evidence for Latin America and policy options
Leyva, Gustavo; Urrutia, Carlos - 2021
participation, and a decline in the informality rate. The latter is unprecedented since informality used to cushion the decline in … sector are essential to account for the employment and output loss and for the decline in the informality rate. …
Persistent link: https://www.econbiz.de/10012796814
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Designing UISAs for developing countries
Cirelli, Fernando; Espino, Emilio; Sanchez, Juan M. - 2018
The benefits of implementing Unemployment Insurance Savings Accounts (UISAs) are studied in the presence of the multiple sources of information frictions often existing in developing countries. A benchmark incomplete markets economy is calibrated to Mexico in the early 2000s. The unconstrained...
Persistent link: https://www.econbiz.de/10011911462
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Job search, unemployment protection and informal work in advanced economies
Long, Iain W.; Polito, Vito - 2017
This paper investigates the incentives that may induce workers to supplement income from unemployment benefits by engaging in temporary informal work. Using a dynamic model of job-search with moral hazard that incorporates a stylised schedule of benefit payments, we describe how informal sector...
Persistent link: https://www.econbiz.de/10011761509
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Heterogeneous impacts on layoffs of changes in Brazilian unemployment insurance eligibility rules
Cravo, Túlio; O'Leary, Christopher J.; Sierra, Ana Cristina - 2020
This paper is based on the first use of program administrative data from Brazil's unemployment insurance (UI) program to assess the impact of changes in UI eligibility criteria on layoff probabilities. We exploit exogenous program changes introduced by executive and legislative changes in 2015...
Persistent link: https://www.econbiz.de/10012161537
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Unemployment Insurance, Informality, and Precautionary Savings
Bloise, Caio Romeu; Santos, Marcelo Rodrigues - 2022
Empirical evidence shows that in a labor market characterized by a severe degree of informality, unemployment insurance … model that incorporates informality in an incomplete markets framework to analyze the impact of changing (UI) components. In … while working in informality. We find that increasing the benefit eligibility criteria fosters employment while the duration …
Persistent link: https://www.econbiz.de/10014237425
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Cash-in-hand, benefit fraud and unemployment insurance
Long, Ian W.; Polito, Vito - 2015
Recent evidence questions the nature of the re-employment spike as unemployment insurance (UI) payments expire. Unemployed agents do not appear to devote more time to search and are observed leaving the UI scheme early without necessarily entering employment. We show that benefit fraud is...
Persistent link: https://www.econbiz.de/10011317858
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Unemployment Insurance as a Subsidy to Risky Firms
Doornik, Bernardus Ferdinandus Nazar van - 2020
In this paper, we document that a more generous unemployment insurance (UI) system shifts labor supply from safer to riskier firms and reduces the compensating wage differential that riskier firms are required to pay. Reallocation of labor supply towards riskier firms has real implications for...
Persistent link: https://www.econbiz.de/10012847424
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Strategic Formal Layoffs : Unemployment Insurance and Informal Labor Markets
Doornik, Bernardus Ferdinandus Nazar van - 2020
Exploiting an unemployment insurance (UI) reform in Brazil, we study incentive effects of UI in the presence of informal labor markets. We find that eligibility for UI benefits increases formal layoffs by twelve percent. Most of the additional formal layoffs are related to workers transitioning...
Persistent link: https://www.econbiz.de/10012852422
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Heterogeneous Impacts on Layoffs of Changes in Brazilian Unemployment Insurance Eligibility Rules
Cravo, Tulio - 2020
This paper is based on the first use of program administrative data from Brazil's unemployment insurance (UI) program to assess the impact of changes in UI eligibility criteria on layoff probabilities. We exploit exogenous program changes introduced by executive and legislative changes in 2015...
Persistent link: https://www.econbiz.de/10012842086