An extra time duration model with application to unemployment duration under benefits in Spain

This paper postulates that the effect of unemployment benefits on the hazard rates changes considerably using a traditional duration model that uses only unemployment insurance (UI) data, or deals with unemployment assistance (UA) as a mere extension of UI, instead of an extra time duration model th...

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Detalles Bibliográficos
Autores: Arranz Muñoz, José María|||0000-0001-8112-2867, Muro Romero, Juan de Dios|||0000-0003-1187-1154
Tipo de recurso: artículo
Fecha de publicación:2004
País:España
Institución:Universidad de Alcalá (UAH)
Repositorio:e_Buah Biblioteca Digital Universidad de Alcalá
Idioma:inglés
OAI Identifier:oai:ebuah.uah.es:10017/6632
Acceso en línea:http://hdl.handle.net/10017/6632
Access Level:acceso abierto
Palabra clave:Unemployment insurance
Unemployment assistance
Mixed proportional hazard model
Sequential exits
Unobserved heterogeneity
Prestaciones contributivas
Salidas secuenciales
Heterogeneidad inobservada
Prestaciones asistenciales
Modelo mixto de riesgos proporcionales
J64
Ciencias económicas
Estadística
Empresa
Economics
Statistics
Management science
Descripción
Sumario:This paper postulates that the effect of unemployment benefits on the hazard rates changes considerably using a traditional duration model that uses only unemployment insurance (UI) data, or deals with unemployment assistance (UA) as a mere extension of UI, instead of an extra time duration model that accounts separately for transition rates to work of the unemployed who receive UI and UA. For UI recipients the hazard rate rises dramatically when UI benefits lapse approaches. On the contrary, for UA recipients the hazard rate remains flat or even has a slight fall nearby the UA lapse. Finally, there is a group of unemployed qualified for UA that quit UI due to the income fall that they will experience when they pass from UI to UA