The effect of declining unemployment benefits on transitions to employment
Abstract:This paper provides new evidence on the effect of the 2012 reform on flows from UB to employment. The reform increased the steepness of the time profile of unemployment benefits by raising the initial benefit, lowering its long-term level and increasing the number of steps in-between. The analysis finds no indication that the 2012 reform of the Belgian UB system led to an increase in flows towards employment or inactivity either in the aggregate or when comparing groups of workers whose benefits were affected … Show more
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