Why extended UI benefits are still necessary
Equilibrium labor market theory suggests that unemployment benefit extensions affect unemployment by impacting both job search decisions by the unemployed and job creation decisions by employers. The existing empirical literature focused on the former effect only.
We develop a new methodology necessary to incorporate the measurement of the latter effect. Implementing this methodology in the data, we find that benefit extensions raise equilibrium wages and lead to a sharp contraction in vacancy creation, employment, and a rise in unemployment. Evidence from Recent Cycles in the U.
Unemployment insurance might increase unemployment, but only slightly
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Jobs created by unemployment insurance benefits
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Extending Unemployment Insurance Benefits - Center for American Progress
Authors Whittaker, Julie M. Analyst in Income Security. Publisher Library of Congress. Congressional Research Service. Place of Publication: Washington D. About Browse this Partner.
Extending Unemployment Insurance Benefits 101
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