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A European Unemployment Benefit Scheme

How to Provide for More Stability in the Euro Zone

By Sebastian Dullien

The recent euro crisis and the dramatic increase of unemployment in some European countries have triggered a renewed interest in giving the EU the capability to stabilize the economies of its member states. One of the proposed instruments is a common European unemployment insurance program.

In this book, Sebastian Dullien offers a blueprint for developing such a continent-wide program and evaluates its chances for success. Buildingo in lessons from the administration of unemployment insurance in the United States, he outlines how a European unemployment benefit program could be constructed to provide significant stabilization to national business cycles without strongly extending social protection in Europe. The book provides a simulation of macroeconomic stabilization effects and payment flows between countries and discusses options, potential pitfalls, and existing concerns.

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