Replication data for: A Macroeconomic Approach to Optimal Unemployment Insurance: Applications
Principal Investigator(s): View help for Principal Investigator(s) Camille Landais; Pascal Michaillat; Emmanuel Saez
Version: View help for Version V1
| Name | File Type | Size | Last Modified |
|---|---|---|---|
| aejpol20160462_data | 10/13/2019 05:43:AM | ||
|
|
text/plain | 14.6 KB | 10/13/2019 01:43:AM |
Project Citation:
Landais, Camille, Michaillat, Pascal, and Saez, Emmanuel. Replication data for: A Macroeconomic Approach to Optimal Unemployment Insurance: Applications. Nashville, TN: American Economic Association [publisher], 2018. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-13. https://doi.org/10.3886/E114699V1
Project Description
Summary:
View help for Summary
In the United States, unemployment insurance (UI) is more generous when unemployment is high. This paper examines whether this policy is desirable. The optimal UI replacement rate is the Baily-Chetty replacement rate plus a correction term measuring the effect of UI on welfare through labor market tightness. Empirical evidence suggests that tightness is inefficiently low in slumps and inefficiently high in booms, and that an increase in UI raises tightness. Hence, the correction term is positive in slumps but negative in booms, and optimal UI is indeed countercyclical. Since there remains some uncertainty about the empirical evidence, the paper provides a thorough sensitivity analysis.
Scope of Project
JEL Classification:
View help for JEL Classification
E24 Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
E32 Business Fluctuations; Cycles
J64 Unemployment: Models, Duration, Incidence, and Job Search
J65 Unemployment Insurance; Severance Pay; Plant Closings
E24 Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
E32 Business Fluctuations; Cycles
J64 Unemployment: Models, Duration, Incidence, and Job Search
J65 Unemployment Insurance; Severance Pay; Plant Closings
Related Publications
Published Versions
Report a Problem
Found a serious problem with the data, such as disclosure risk or copyrighted content? Let us know.
This material is distributed exactly as it arrived from the data depositor. ICPSR has not checked or processed this material. Users should consult the investigator(s) if further information is desired.