TY  - RPRT
        AU  - Lalive, Rafael
AU  - Zweimüller, Josef
        TI  - Benefit Entitlement and Unemployment Duration: The Role of Policy Endogeneity
        PY  - 2002/May/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 492
        UR  - https://www.iza.org/publications/dp492
        AB  - The potential duration of benefits is generally viewed as an important determinant of
unemployment duration. This paper evaluates a unique policy change that prolonged
entitlement to regular unemployment benefits from 30 weeks to a maximum of 209 weeks for
elderly individuals in certain regions of Austria. In the evaluation, we explicitly account for the
fact that the program was an endogenous policy response to a crisis affecting individuals with
severe labor market problems. The main results are: (i) REBP reduced the transition rate to
jobs by 17 %; (ii) accounting for endogenous policy adoption is important and quantitatively
significant.
        KW  - maximum benefit duration
KW  - quasi-experiments
KW  - unemployment duration
KW  - unemployment insurance
KW  - benefit entitlement
KW  - policy endogeneity
        ER  -