eprintid: 10069841
rev_number: 25
eprint_status: archive
userid: 608
dir: disk0/10/06/98/41
datestamp: 2019-03-11 10:17:48
lastmod: 2021-01-12 07:10:07
status_changed: 2019-03-11 10:17:48
type: article
metadata_visibility: show
creators_name: Kügler, A
creators_name: Bradley, J
title: Labor market reforms: An evaluation of the Hartz policies in Germany
ispublished: pub
divisions: UCL
divisions: A01
divisions: B03
divisions: C03
divisions: F24
keywords: Labor market policy, Hartz reforms, Job search, Wages, Employment
note: This version is the author accepted manuscript. For information on re-use, please refer to the publisher’s terms and conditions.
abstract: How do workers and firms respond to comprehensive labor market reforms? We use detailed micro data to analyze the German Hartz Reforms through the lens of a structural model of the labor market. These reforms aimed at reducing unemployment, by increasing working hour flexibility, job matching and work incentives. In our setting, reforms directly affect the model parameters, which are estimated using matched data on 430,000 workers in 340,000 firms. Contrary to previous findings, our analysis shows that, although the reforms shortened the typical duration of unemployment, they did not reduce unemployment as a whole and led to a decline in wages. Low-skilled workers suffered the most in terms of employment and wage losses. Furthermore, we decompose the contribution of each reform wave to employment and wage changes, finding that the reduction in generosity of unemployment benefits was the principle driver in reducing wages.
date: 2019-04
date_type: published
publisher: Elsevier
official_url: https://doi.org/10.1016/j.euroecorev.2018.12.008
oa_status: green
full_text_type: other
language: eng
primo: open
primo_central: open_green
article_type_text: Journal Article
verified: verified_manual
elements_id: 1638030
doi: 10.1016/j.euroecorev.2018.12.008
language_elements: English
lyricists_name: Kuegler, Alice
lyricists_id: AKUEG53
actors_name: Kuegler, Alice
actors_id: AKUEG53
actors_role: owner
full_text_status: public
publication: European Economic Review
volume: 113
pagerange: 108-135
issn: 0014-2921
citation:        Kügler, A;    Bradley, J;      (2019)    Labor market reforms: An evaluation of the Hartz policies in Germany.                   European Economic Review , 113    pp. 108-135.    10.1016/j.euroecorev.2018.12.008 <https://doi.org/10.1016/j.euroecorev.2018.12.008>.       Green open access   
 
document_url: https://discovery.ucl.ac.uk/id/eprint/10069841/7/Kuegler_Labor%20market%20reforms.%20An%20Evaluation%20of%20the%20Hartz%20Policies%20in%20Germany_AAM.pdf