Do Low‐Wage Workers React Less to Longer Unemployment Benefits? Quasi‐Experimental Evidence*
利用失业救济金领取期限延长的准实验，发现失业持续时间对失业前工资呈驼峰形反应，低工资和高工资工人反应小于中间工资群体，质疑长期救济金对低工资工人的有效性。
Abstract The fact that unemployed workers have different abilities to smooth consumption entails heterogeneous responses to extended unemployment benefits. Our empirical exercise explores a quasi‐experimental setting generated by an increase in the benefits entitlement period. The results suggest a hump‐shape response of unemployment duration over the one‐year pre‐unemployment wage distribution; individuals at the bottom and top of the wage distribution reacted less than those in the interquartile range. This behaviour of job searchers is consistent with labour supply models with unemployment insurance and savings. It questions the optimality of very long entitlement periods to target the unemployment experiences of low‐wage workers.