The effect of unemployment insurance on the riskiness of occupational choice Export

@article{citeulike:1034776, abstract = {This paper examines the effect of unemployment insurance on the riskiness of occupational choice by postulating a model of job search in which job offers have two characteristics; their wage and their security of tenure. Two versions are considered: a general case in which the unemployment benefit is earnings-related, and a special case in which the benefit is of a flat-rate form. Of particular interest in the paper is the individual's desired trade-off between wage and security of tenure, and how this trade-off is affected by the type of insurance scheme in operation. Perhaps surprisingly, we find that an earnings-related scheme encourages risk-taking behaviour by the poor, and risk-avoiding behaviour by the rich; in contrast, a flat-rate scheme neither encourages nor discourages risk-taking.}, author = {Hey, John D. and Mavromaras, Kostas G.}, citeulike-article-id = {1034776}, citeulike-linkout-0 = {http://dx.doi.org/10.1016/0047-2727(81)90003-7}, citeulike-linkout-1 = {http://www.sciencedirect.com/science/article/B6V76-458X34S-2J/2/41c7523646bf13ec0eac86b6fcda292a}, doi = {10.1016/0047-2727(81)90003-7}, journal = {Journal of Public Economics}, keywords = {411-2, search}, month = {December}, number = {3}, pages = {317--341}, posted-at = {2007-01-11 03:05:43}, priority = {2}, title = {The effect of unemployment insurance on the riskiness of occupational choice}, url = {http://dx.doi.org/10.1016/0047-2727(81)90003-7}, volume = {16}, year = {1981} }

TY - JOUR ID - citeulike:1034776 L3 - citeulike-article-id:1034776 N2 - This paper examines the effect of unemployment insurance on the riskiness of occupational choice by postulating a model of job search in which job offers have two characteristics; their wage and their security of tenure. Two versions are considered: a general case in which the unemployment benefit is earnings-related, and a special case in which the benefit is of a flat-rate form. Of particular interest in the paper is the individual's desired trade-off between wage and security of tenure, and how this trade-off is affected by the type of insurance scheme in operation. Perhaps surprisingly, we find that an earnings-related scheme encourages risk-taking behaviour by the poor, and risk-avoiding behaviour by the rich; in contrast, a flat-rate scheme neither encourages nor discourages risk-taking. IS - 3 JF - Journal of Public Economics EP - 341 TI - The effect of unemployment insurance on the riskiness of occupational choice VL - 16 SP - 317 KW - 411-2 KW - search AU - Hey, John AU - Mavromaras, Kostas PY - 1981/12// UR - http://dx.doi.org/10.1016/0047-2727(81)90003-7 ER -