University of Malaga
NBER Working Papers and Publications
|August 1990||Jobfinding and Wages when Longrun Unemployment is Really Long: The Case of Spain|
with Richard B. Freeman: w3409
This paper uses the "Encuesta de Condiciones de Vida Y Trabajo" (EGVT) -- a survey of the labor force activity of over 61,000 persons in Spain in 1985 when unemployment exceeded 20%--to examine the effect of unemployment insurance (UI) and family status on long-run joblessness. It finds that (1) duration of joblessness is some 30' longer for those eligible for UI benefits than for those ineligible for UI; (2) the long-term unemployed are disproportionately secondary workers for whom the family serves as a form of welfare; (3) hazard rates linking the chances of job finding to duration of unemployment in the 1981-85 period of massive joblessness did not decline with duration; (4) the length of unemployment spells reduces wages moderately but has huge effect on the probability that re-employ...
Published: Published as "Self-Employment in the Midst of Unemployment: The Case of Spain and the United States", AE, Vol. 26, no. 3 (1994): 189-204.