TY  - RPRT
        AU  - Andersen, Asbjørn Goul
AU  - Markussen, Simen
AU  - Røed, Knut
        TI  - Local Labor Demand and Participation in Social Insurance Programs
        PY  - 2019/Oct/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 12669
        UR  - https://www.iza.org/publications/dp12669
        AB  - Based on administrative data from Norway, we explore the "grey area" between the roles of unemployment- and temporary disability-insurances by examining how participation in these two program types is affected by local labor demand conditions. Local labor demand is identified by means of a shift-share instrumental variables strategy, where initial local industry-composition is interacted with sub-sequent national industry-specific employment fluctuations. Our results indicate that local labor demand has a large negative effect on the propensity to claim disability insurance, which, for some groups, is remarkably similar to its effect on the propensity to claim unemployment insurance. Based on this finding, we question whether it is meaningful to maintain a sharp distinction between these two programs. 
        KW  - shift-share analysis
KW  - program substitution
KW  - disability insurance
KW  - unemployment
        ER  -