Title
The Effect of Unemployment Benefits on the Duration of Unemployment Insurance Receipt: New Evidence from a Regression Kink Design in Missouri, 2003-2013
Author(s)
David Card David Card (Univeristy of California Berkeley, NBER and IZA)
Andrew Johnston Andrew Johnston (University of Pennsylvania)
Pauline Leung Pauline Leung (Princeton University)
Alexandre Mas Alexandre Mas (Princeton University, NBER and IZA)
Zhuan Pei Zhuan Pei (Brandeis University)
Abstract
We provide new evidence on the effect of the unemployment insurance (UI) weekly benefit amount on unemployment insurance spells based on administrative data from the state of Missouri covering the period 2003-2013. Identification comes from a regression kink design that exploits the quasi-experimental variation around the kink in the UI benefit schedule. We find that UI durations are more responsive to benefit levels during the recession and its aftermath, with an elasticity between 0.65 and 0.9 as compared to about 0.35 pre-recession.
Creation Date
2015-01
Section URL ID
Paper Number
585
URL
https://dataspace.princeton.edu/bitstream/88435/dsp01f4752j974/3/585.pdf
File Function
Jel
J64, J65, R23
Keyword(s)
Missouri
Suppress
false
Series
1