Reciprocity and the Interaction between the Unemployed and the Caseworker

35 Pages Posted: 27 Nov 2019

See all articles by Gerard J. Van den Berg

Gerard J. Van den Berg

University of Bristol

Gerrit Müller

Government of the Federal Republic of Germany - Institute for Employment Research (IAB)

Iris Kesternich

KU Leuven - Department of Economics; Ludwig Maximilian University of Munich (LMU) - Faculty of Economics

Bettina M Siflinger

Tilburg University

Multiple version iconThere are 2 versions of this paper

Date Written: 2019

Abstract

We investigate how negatively reciprocal traits of unemployed individuals interact with "sticks" policies imposing constraints on individual job search effort in the context of the German welfare system. For this we merge survey data of long-term unemployed individuals, containing indicators of reciprocity as a personality trait, to a unique set of register data on all unemployed coached by the same team of caseworkers and their treatments. We find that the combination of a higher negative reciprocity and a stricter regime have a negative interaction effect on search effort exerted by the unemployed. The results are stronger for males than for females. Stricter regimes may therefore drive long-term unemployed males with certain types of social preferences further away from the labor market.

Keywords: behavioral response, active labor market policy, monitoring, welfare, job search

JEL Classification: D900, J160, J240, J640, N440

Suggested Citation

Van den Berg, Gerard J. and Müller, Gerrit and Kesternich, Iris and Siflinger, Bettina M, Reciprocity and the Interaction between the Unemployed and the Caseworker (2019). CESifo Working Paper No. 7947, Available at SSRN: https://ssrn.com/abstract=3490411

Gerard J. Van den Berg (Contact Author)

University of Bristol ( email )

University of Bristol,
Senate House, Tyndall Avenue
Bristol, BS8 ITH
United Kingdom

Gerrit Müller

Government of the Federal Republic of Germany - Institute for Employment Research (IAB) ( email )

Regensburger Str. 104
Nuremberg, 90478
Germany

Iris Kesternich

KU Leuven - Department of Economics ( email )

Leuven, B-3000
Belgium

Ludwig Maximilian University of Munich (LMU) - Faculty of Economics ( email )

Ludwigstrasse 28
Munich, D-80539
Germany

Bettina M Siflinger

Tilburg University ( email )

P.O. Box 90153
Tilburg, DC Noord-Brabant 5000 LE
Netherlands

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