Unemployment persistence : is there evidence for stigma effects?


Biewen, Martin ; Steffes, Susanne


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URL: http://ub-madoc.bib.uni-mannheim.de/2089
URN: urn:nbn:de:bsz:180-madoc-20894
Document Type: Working paper
Year of publication: 2008
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: C23 J65 J64 ,
Subject headings (SWD): Deutschland , Langzeitarbeitslosigkeit , Soziale Ungleichheit , Schätzung , Arbeitslosigkeit , Dauer
Keywords (English): unemployment persistence , state dependence , human capital depreciation , stigma effects , scarring
Abstract: We present evidence for a highly significant interaction between state dependence in individual unemployment risk and the business cycle. The disadvantage from having been unemployed in the previous period is smaller in times of relatively high unemployment and larger in times of low unemployment. This is consistent with the existence of stigma effects in the sense that unemployed individuals face difficulties finding a new job because employers interpret unemployment as a negative signal and do so especially when it is easier to find jobs, i.e. when unemployment is low.
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Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




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Biewen, Martin ; Steffes, Susanne (2008) Unemployment persistence : is there evidence for stigma effects? Open Access [Working paper]
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