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Unemployment as a Social Norm in Germany

Author

Listed:
  • Andrew E. Clark
  • Andreas Knabe
  • Steffen Rätzel
Abstract
This paper investigates the relationship between the subjective well-being of both the employed and unemployed and regional unemployment rates. While employed men suffer from regional unemployment, unemployed men are significantly less negatively affected. This is consistent with a social-norm effect of unemployment in Germany. We find no evidence of such an offsetting effect for women.

Suggested Citation

  • Andrew E. Clark & Andreas Knabe & Steffen Rätzel, 2008. "Unemployment as a Social Norm in Germany," SOEPpapers on Multidisciplinary Panel Data Research 132, DIW Berlin, The German Socio-Economic Panel (SOEP).
    • Handle: RePEc:diw:diwsop:diw_sp132
    as

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    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.89975.de/diw_sp0132.pdf
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    References listed on IDEAS

    as
    1. Andrew E. Clark, 2003. "Unemployment as a Social Norm: Psychological Evidence from Panel Data," Journal of Labor Economics, University of Chicago Press, vol. 21(2), pages 289-322, April.
    2. Blanchflower, David G. & Oswald, Andrew J., 2004. "Well-being over time in Britain and the USA," Journal of Public Economics, Elsevier, vol. 88(7-8), pages 1359-1386, July.
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    5. Nattavudh Powdthavee, 2003. "Are there Regional Variations in the Psychological Cost of Unemployment in South Africa?," Labor and Demography 0310006, University Library of Munich, Germany, revised 28 Oct 2003.
    6. Ai, Chunrong & Norton, Edward C., 2003. "Interaction terms in logit and probit models," Economics Letters, Elsevier, vol. 80(1), pages 123-129, July.
    7. Gerlach, Knut & Stephan, Gesine, 1996. "A paper on unhappiness and unemployment in Germany," Economics Letters, Elsevier, vol. 52(3), pages 325-330, September.
    8. McCain, Roger A., 2006. "B.M.S. van Praag and A.D.A. Ferrer-i-Carbonell, Happiness Quantified: A Satisfaction Calculus Approach, Oxford University Press, Oxford, UK (2004) 352+vi pp., ISBN 0-19-828654-6," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(4), pages 755-757, August.
    9. Nattavudh Powdthavee, 2007. "Are there Geographical Variations in the Psychological Cost of Unemployment in South Africa?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 80(3), pages 629-652, February.
    10. Liliana Winkelmann & Rainer Winkelmann, 1998. "Why Are the Unemployed So Unhappy?Evidence from Panel Data," Economica, London School of Economics and Political Science, vol. 65(257), pages 1-15, February.
    11. Ada Ferrer-i-Carbonell & Paul Frijters, 2004. "How Important is Methodology for the estimates of the determinants of Happiness?," Economic Journal, Royal Economic Society, vol. 114(497), pages 641-659, July.
    12. Michael Shields & Stephen Wheatley Price & Mark Wooden, 2009. "Life satisfaction and the economic and social characteristics of neighbourhoods," Journal of Population Economics, Springer;European Society for Population Economics, vol. 22(2), pages 421-443, April.
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Social norms; unemployment; life satisfaction;
    All these keywords.

    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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