Research Papers in Economics, Department of Economics, Stockholm University
Why do Some Studies Show that Generous Unemployment Benefits Increase Unemployment Rates? A Meta-Analysis of Cross-Country Studies
Abstract: This paper investigates the hypothesis that generous
unemployment benefits give rise to high levels of unemployment by
systematically reviewing 34 cross- country studies. In contrast to
conventional literature surveys, I perform a meta-analysis which applies
regression techniques to a set of results taken from the existing
literature. The main finding is that the choice of the primary data and
estimation method matter for the final outcome. The control variables in
the primary studies also affect the results.
Keywords: meta-analysis; cross-country study; unemployment; benefits replacement rate; benefit duration; (follow links to similar papers)
JEL-Codes: C42; J65; (follow links to similar papers)
38 pages, May 5, 2011
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