S-WoPEc
 
Scandinavian Working Papers in Economics
HomeAboutSeriesSubject/JEL codesAdvanced Search
IFAU - Institute for Evaluation of Labour Market and Education Policy Working Paper Series
IFAU - Institute for Evaluation of Labour Market and Education Policy

No 2007:8:
Moral hazard among the sick and unemployed: evidence from a Swedish social insurance reform

Laura Larsson and Caroline Runeson ()

Abstract: This paper looks at a specific type of moral hazard that arises in the interplay between two large public insurance systems in Sweden, namely the sickness insurance (SI) and the unemployment insurance (UI). Moral hazard can arise from the benefit size structure as for some unemployed persons, benefits from the SI are higher than benefits from the UI. We use a reform of the SI system that came in force 1 July, 2003, to identify the effect of economic incentives arising from the different benefit sizes. Our results from a duration analysis show clearly that the higher the benefits, the larger the probability of reporting sick.

Keywords: Unemployment insurance; sickness insurance; health; duration analysis; discrete hazard models; (follow links to similar papers)

JEL-Codes: C41; H55; I18; J64; J65; (follow links to similar papers)

32 pages, March 14, 2007

Before downloading any of the electronic versions below you should read our statement on copyright.
Download GhostScript for viewing Postscript files and the Acrobat Reader for viewing and printing pdf files.

Full text versions of the paper:

wp07-08.pdf    PDF-file
Download Statistics
This paper is published as:
Hartman, Laura and Caroline Hall, (2010), 'Moral hazard among the sick and unemployed: evidence from a Swedish social insurance reform', Empirical Economics, Vol. 39, No. 1, pages 27-50



Questions (including download problems) about the papers in this series should be directed to Monica Fällgren ()
Report other problems with accessing this service to Sune Karlsson () or Helena Lundin ().

Programing by
Design by Joachim Ekebom

Handle: RePEc:hhs:ifauwp:2007_008 This page was generated on 2016-01-24 15:54:59