NBER

Umberto Muratori

Department of Economics
Georgetown University
37th and O Streets, NW
Washington, DC 20057

E-Mail: EmailAddress: hidden: you can email any NBER-related person as first underscore last at nber dot org
Institutional Affiliation: Georgetown University

NBER Working Papers and Publications

July 2020Do Unemployment Insurance Benefits Improve Match Quality? Evidence from Recent U.S. Recessions
with Ammar Farooq, Adriana D. Kugler: w27574
We present new evidence on the impact of more generous unemployment insurance (UI) on workers’ ability to find jobs better suited to their skills. Using Longitudinal Employer-Household Dynamics data, we find the UI extensions introduced in the U.S. improved the quality of worker-job matches. Using Current Population Survey data, we also find that longer UI benefit durations decrease the mismatch between workers’ educational attainments and the educational requirements of jobs. We find bigger effects of UI on match quality for those more likely to be liquidity constrained—women, non-whites and less-educated workers—,suggesting UI extensions improve the functioning of the labor market.

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