5,881 research outputs found

    Benefit Payment Costs of Unemployment Insurance Modernization: Estimates Based on Kentucky Administrative Data

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    The American Recovery and Reinvestment Act (ARRA) of 2009 provided financial incentives for UI modernization. The financial incentive is the state share of 7billionavailablenationwide.Statescanreceiveonethirdoftheirallocationbyhavinganalternatebaseperiod(ABP)formonetarydeterminationofUIeligibilitythatincludesthemostrecentlycompletedcalendarquarter.Statescanreceivetheremainingtwothirdsoftheirallocationforhavingtwooffouradditionalprogramfeatures:1)UIeligibilitywhileseekingonlyparttimework,2)UIeligibilityafterjobseparationsduetoharassmentorcompellingfamilyreasons,3)continuationofUIbenefitsforatleast26additionalweeksafterexhaustionofregularbenefitswhileinapprovedtraining,and4)dependentsallowancesofatleast7 billion available nationwide. States can receive one-third of their allocation by having an alternate base period (ABP) for monetary determination of UI eligibility that includes the most recently completed calendar quarter. States can receive the remaining two-thirds of their allocation for having two of four additional program features: 1) UI eligibility while seeking only part-time work, 2) UI eligibility after job separations due to harassment or compelling family reasons, 3) continuation of UI benefits for at least 26 additional weeks after exhaustion of regular benefits while in approved training, and 4) dependents’ allowances of at least 15 per dependent up to $50. This paper presents estimates of the UI benefit payment costs of these five program changes based on data from the Commonwealth of Kentucky. To date 39 states have received modernization payments for having an ABP, and 32 states have received the remaining two-thirds of funds available. The numbers of states adopting each of these additional features are as follows: 25 for seeking part-time, 18 for family reasons, 14 for exhaustee benefits while in training, and 7 for dependents’ allowances. Estimates of the UI benefit payment costs for these features, based on Kentucky data, suggest a pattern of states choosing UI modernization features to minimize the expected benefit payment costs. However, for states broadening UI eligibility through modernization, UI benefit payment costs will be higher for any given level of unemployment. Liberalized eligibility rules must be balanced by structural financing enhancements to ensure long-term fiscal stability of the system.unemployment insurance, UI, modernization, American Recovery and Reinvestment Act, benefit payments, Kentucky, administrative data, state expenditures

    An Econometric Analysis of Unemployment Insurance Benefit Adequacy

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    Traditionally studies of unemployment insurance benefit adequacy have relied on an expenditure survey. This is expensive, yields small samples, and presumes that the analyst knows which categories of expenditure are necessary. This paper uses an existing large data set, and an agnostic approach. Labor supply are equations are estimated on PSID data using an estimator which accounts for rationing in the labor market. The results are used to compute labor market constraint compensation for comparison to payments under UI systems of representative states. The results suggest that payments which meet the accepted standard of adequacy would usually slightly overcompensate individuals.unemployment, insurance, adequacy, benefits, O'Leary

    An Impact Analysis of Labor Market Programs in Hungary

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    This paper presents estimates of the impact of retraining and public service employment (PSE) on reemployment and earnings in the Republic of Hungary during the early phase of post-Socialist economic restructuring. Since assignment to programs resulted in groups with vastly dissimilar characteristics, impact estimates were computed using a variety of methods. Controlling for observable characteristics, retraining may have slightly improved the chances for reemployment in a non-subsidized job, but the gain in reemployment was probably not sufficient to justify the cost of retraining. However, since the durability of jobs appears to be better for those who were retrained, the long term earnings impacts may be significant. Net societal benefits from retraining could be improved by targeting services to more males, older persons, those with fewer years of formal education, and those with no non-manual specialization. PSE was a successful strategy to keep people out of unemployment, but it did not appear to be a cost effective means of getting people reemployed in non-subsidized jobs. PSE is probably best viewed as an income transfer program that has the side effect of preventing deterioration of basic work habits. In terms of reemployment, the net societal impact of PSE could be improved if it involved more older persons and females.labor, market, programs, Hungary, O'Leary

    Promoting Self Employment Among the Unemployed in Hungary and Poland

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    To evaluate the effectiveness of self-employment assistance to the unemployed in Hungary and Poland more than 5,500 follow-up interviews were conducted in early 1997 by employees of local labor offices with persons in self-employment participant and comparison group samples. Wide ranging differences were observed between the demographic composition of self- employment samples and the general population of unemployed. Program effects were therefore computed as net impact estimates controlling for systematic sample selection using observable characteristics including information on job search assistance from the employment service. While self-employment assistance yielded a favorable set of net impact estimates in both countries, there was a significant dead weight in the operation of programs. Many of those receiving self- employment assistance probably would have gained reemployment without government assistance. However, even after accounting for sample selection, program impacts in both countries on unemployment compensation savings were large, and impacts on employment outcomes were large and positive. In Poland there were also large and positive earnings impacts. A negative estimated earnings impact in Hungary may have been due to a reluctance for full disclosure to tax authorities. In both countries there were appreciable secondary employment effects of between 0.31 and 0.83 additional workers hired per person given self-employment assistance. Among subgroups, self- employment appeared to be more effective in high unemployment areas in Hungary, among females in Poland, outside of service industries in Hungary, and outside of manufacturing and construction in Poland.unemployment, labor, market, programs, self-employment, Hungary, Poland, O'Leary

    1,6-Interactions between dimethylamino and aldehyde groups in two biphenyl derivatives

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    The title compounds, 2-(dimethylamino)biphenyl-2'-carboxaldehyde, C15H15NO, and 2-(dimethylamino)biphenyl-2',6'-dicarboxaldehyde, C16H15NO2, show similar 1,6-interactions [N...C=O 2.929 (3) to 3.029 (3) Å] between the dimethylamino and aldehyde groups located in the ortho positions of the two rings, which lie at 58.1 (1)-62.4 (1)° to each other

    Unemployment Insurance Policy in New England: Background and Issues

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    Most states have exhausted their unemployment insurance (UI) trust fund and borrowed from the federal government at least once during the past 35 years. Under such circumstances, states are required by law to raise UI taxes to replenish their trust funds and to pay off their debts to the federal government. Since higher UI taxes increase employer costs, replenishment forces states into a trade-off between economic competitiveness and trust fund adequacy. Competitive pressures have raised questions about prevailing standards of adequacy and the speed at which they should be attained. Consequently, several states are contemplating tax reductions despite low reserves. This article provides background information and analysis intended to clarify issues underlying the UI policies of New England in general and a tax reduction under consideration in Massachusetts in particular. The main point is that alternative UI policies should not be judged solely by the yardsticks of economic competitiveness and trust fund adequacy. Allocative neutrality and economic stabilization are also relevant concerns. UI systems necessarily force some industries to subsidize others, thereby distorting the allocation of resources in favor of subsidized firms. Yet, many of the same features responsible for these allocative distortions affect economic stability. Every UI alternative entails trade-offs among these rival concerns.unemployment, insurance, New England, Tannenwald, O'Leary
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