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Upjohn Institute Working Papers

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Evaluating Public Employment Programs With Field Experiments: A Survey Of American Evidence, Christopher J. O'Leary Sep 2017

Evaluating Public Employment Programs With Field Experiments: A Survey Of American Evidence, Christopher J. O'Leary

Upjohn Institute Working Papers

Research in the 1970s based on observational data provided evidence consistent with predictions from economic theory that paying unemployment insurance (UI) benefits to involuntarily jobless workers prolongs unemployment. However, some scholars also reported estimates that the additional time spent in subsidized job search was productive. That is, UI receipt tended to raise reemployment wages after work search among the unemployed. A series of field experiments in the 1980s investigated positive incentives to overcome the work disincentive effects of UI. These were followed by experiments in the 1990s that evaluated the effects of restrictions on UI eligibility through stronger work search …


Short-Time Compensation As A Tool To Mitigate Job Loss? Evidence On The U.S. Experience During The Recent Recession, Katharine G. Abraham, Susan N. Houseman Aug 2013

Short-Time Compensation As A Tool To Mitigate Job Loss? Evidence On The U.S. Experience During The Recent Recession, Katharine G. Abraham, Susan N. Houseman

Upjohn Institute Working Papers

During the recent recession only 17 states offered short-time compensation (STC)—pro-rated unemployment benefits for workers whose hours are reduced for economic reasons. New federal legislation will encourage the expansion of STC. Exploiting cross-state variation in STC, we present new evidence indicating that jobs saved during the recession as a consequence of STC could have been significant in manufacturing, but that the overall scale of the STC program was generally too small to have substantially mitigated aggregate job losses in the 17 states. Expansion of the program is necessary for STC to be an effective counter-cyclical tool in the future.


Does Employment Protection Inhibit Labor Market Flexibility?: Lessons From Germany, France And Belgium, Katharine G. Abraham, Susan N. Houseman Mar 1993

Does Employment Protection Inhibit Labor Market Flexibility?: Lessons From Germany, France And Belgium, Katharine G. Abraham, Susan N. Houseman

Upjohn Institute Working Papers

Laws in most West European countries give workers strong job rights, including the right to advance notice of layoff and the right to severance pay or other compensation if laid off. Many of these same countries also encourage hours adjustment in lieu of layoffs by providing prorated unemployment compensation to workers on reduced hours. This paper compares the adjustment of manufacturing employment and hours in West Germany, France and Belgium, three countries with strong job security regulations and well-established short-time compensation systems, with that in the United States. Although the adjustment of employment to changes in output is much slower …