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Author:Lemieux, T.
MacLeod, W.
Title:Supply side hysteresis: the case of the Canadian unemployment insurance system
Journal:Journal of Public Economics
2000 : OCT, VOL. 78:1/2, p. 139-170
Index terms:HYSTERESIS
CANADA
UNEMPLOYMENT INSURANCE
Language:eng
Abstract:This paper presents results from a 1971 natural experiment carried out by a Canadian government on the unemployment insurance system. At that time, the generosity of the UI system was increased dramatically. The authors find some evidence that the propensity to collect UI increases with a first-time exposure to the new UI system. Hence, as more individuals experience unemployment, their lifetime use of the system increases.
SCIMA record nr: 218830
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