Journal of Labor Economics
journal article
Unemployment Insurance in the United States: Layoff Incentives and Cross Subsidies
Patricia M. Anderson and Bruce D. Meyer
Journal of Labor Economics
Vol. 11, No. 1, Part 2: U.S. and Canadian Income Maintenance Programs (Jan., 1993), pp. S70-S95 (26 pages)
Published By: The University of Chicago Press
Journal of Labor Economics
https://www.jstor.org/stable/2535168
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Abstract

We survey unemployment insurance (UI) in the United States and provide new evidence on the UI payroll tax. Most UI receipt is due to firms that pay part of the UI costs of their layoffs, but weak experience rating leads most firms to pay considerably less than the full costs. Industries consistently receiving subsidies from the UI system are construction, manufacturing, and mining. Finally, a large fraction of layoffs resulting in payment of UI are made by firms that are not charged for the costs of the claim because they have employed the individual for less than 2 quarters.

Journal Information

Current issues are now on the Chicago Journals website. Read the latest issue.Since 1983, the Journal of Labor Economics (JOLE) has presented international research on issues affecting social and private behavior, and the economy. JOLE’s contributors investigate various aspects of labor economics, including supply and demand of labor services, personnel economics, distribution of income, unions and collective bargaining, applied and policy issues in labor economics, and labor markets and demographics.

Publisher Information

Since its origins in 1890 as one of the three main divisions of the University of Chicago, The University of Chicago Press has embraced as its mission the obligation to disseminate scholarship of the highest standard and to publish serious works that promote education, foster public understanding, and enrich cultural life. Today, the Journals Division publishes more than 70 journals and hardcover serials, in a wide range of academic disciplines, including the social sciences, the humanities, education, the biological and medical sciences, and the physical sciences.

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Journal of Labor Economics © 1993 The University of Chicago Press