TY  - JOUR
AU  - Blank,Rebecca M.
AU  - Card,David
TI  - Recent Trends in Insured and Uninsured Unemployment:  Is There an Explanation?
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 2871
PY  - 1989
Y2  - March 1989
UR  - http://www.nber.org/papers/w2871
L1  - http://www.nber.org/papers/w2871.pdf
N1  - Author contact info:
Rebecca M. Blank
Under Secretary for Economic Affairs
Department of Commerce
Economics and Statistics Administration
Herbert C. Hoover Building, Room 4848
1401 Constitution Avenue, NW
Washington, DC  20230
Tel: 202-482-3727
Fax: 202-482-0432
E-Mail: rblank@doc.gov

David Card
Department of Economics
549 Evans Hall, #3880
University of California, Berkeley
Berkeley, CA  94720-3880
Tel: 510/642-5222
Fax: 510/643-7042
E-Mail: card@econ.berkeley.edu
AB  - This paper presents new evidence on the reasons for the recent decline in the fraction of unemployed workers who receive unemployment insurance benefits. Using samples of unemployed workers from the March Current Population Survey, we estimate the fraction of unemployed workers who are potentially eligible for benefits in each year and compare this to the fraction who actually receive unemployment compensation. Perhaps surprisingly, we find that the decline in the fraction of insured unemployment is due to a decline in the takeup rate for benefits . Our estimates indicate that takeup rates declined abruptly between 1980 and 1982, leading to a 6 percentage point decline in the fraction of the unemployed who receive benefits. We go on to analyze the determinants of the takeup rate for unemployment benefits, using both aggregated state-level data and micro-data from the Panel Study of Income Dynamics. Changes in the regional distribution of unemployment account for roughly one-half of the decline in average takeup rates. The remainder of the change is largely unexplained.
ER  -