TY  - RPRT
        AU  - Cairo, Sofie
AU  - Mahlstedt, Robert
        TI  - Transparency of the Welfare System and Labor Market Outcomes of Unemployed Workers
        PY  - 2021/Dec/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 14940
        UR  - https://www.iza.org/publications/dp14940
        AB  - We study how the transparency of welfare systems affects labor market outcomes of unemployed workers in a large-scale field experiment. Our low-cost information intervention uses a personalized online tool that informs benefit recipients about their personal risk of a benefit reduction when not complying with a work requirement. We find disparate effects reflecting individuals' job search status. Providing personalized information improves labor market outcomes by mitigating the pressure to accept unstable part-time jobs among active job seekers with a low sanction risk. Inactive persons with a high sanction risk leave welfare and rely on alternative income support more frequently.
        KW  - unemployment
KW  - transfer programs
KW  - transparency
KW  - sanctions
KW  - uncertainty
KW  - work requirements
KW  - field experiments
KW  - information treatment
        ER  -