Scandinavian Working Papers in Economics

Working Paper Series,
IFAU - Institute for Evaluation of Labour Market and Education Policy

No 2007:18: Excess use of Temporary Parental Benefit

Per Engström (), Patrik Hesselius () and Malin Persson
Additional contact information
Per Engström: Nationalekonomiska institutionen, Postal: Uppsala Universitet , Box 513 , 751 20 UPPSALA, Sweden
Patrik Hesselius: IFAU - Institute for Labour Market Policy Evaluation, Postal: P O Box 513, SE-751 20 Uppsala, Sweden
Malin Persson: IFAU - Institute for Labour Market Policy Evaluation, Postal: P O Box 513, SE-751 20 Uppsala, Sweden

Abstract: In this report we examine the excess use of Temporary Parental Benefit for parents who need to stay home from work when their children are sick. This study is based on a randomized experiment that took place during the spring 2006. The method used is rather new and more ambitious than those used in similar studies in the past. One advantage with this more elaborate technique is that a larger part of the veiled excessive use can be discovered. The result points to that as much as 22.5 percent of the costs for this social insurance are due to excess use. There are significant gender differences; women’s excess use amounts to 19 percent of their total use while the corresponding figure for men is 28 percent.

Keywords: Temporary Parental Benefit; randomized experiment

JEL-codes: J32

57 pages, August 22, 2007

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