of numerous workshops and seminars for helpful comments or discussions on the paper. The authors gratefully acknowledge financial support by the German Research Foundation (DFG) through the research project Microeconometric modelling of unemployment duration under consideration of the macroeconomic situation which was carried out at the ZEW Mannheim. This work uses the IAB employment subsample 1975-2001 with anonymous and original variables. The delivery and the use of the data is in compliance with § 75 SGB X. The IAB does not take any responsibility for the use of its data
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