Antipoverty Effects of Unemployment Insurance Page: 3 of 42
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Antipoverty Effects of Unemployment Insurance
Contents
Introduction.............................................................................................. 1
Roadmap................................................................................................. 1
Labor Market Context ................................................................................... 3
Unemployment Insurance ................................................................................ 7
Changes in the Structure and Generosity of Unemployment Insurance ......................... 9
Temporary Federal Unemployment Insurance Programs, 1987-20 12 ....................... 9
Interaction of the American Recovery and Reinvestment Act of 2009 (ARRA; P.L.
111-5) with Unemployment Insurance........................................................... 11
How Important Were the Temporary Programs to the Unemployed?9.......................... 12
Antipoverty Effects of Unemployment Insurance ..................................................... 14
Antipoverty Effects of UI on All Related Persons................................................. 15
Antipoverty Effect of UI on Persons in Families Receiving UI Benefits ...................... 18
Aggregate UI Dollars Going Toward Reducing Poverty ......................................... 20
Antipoverty Effect of UI Benefits Among Unemployed Individuals........................... 21
Review of Analysis..................................................................................... 24
Figures
Figure 1. Monthly and Annual Average Unemployment Rate ......................................... 4
Figure 2. Median Duration of Unemployment among Unemployed Workers in Weeks,
January 1987 to August 2012........................................................................... 5
Figure 3. Seasonally Adjusted Unemployment Rate and an Alternative Measure of
Underutilization (BLS U-6 Definition)................................................................ 6
Figure 4. Percentage of Unemployed Receiving Unemployment Benefits......................... 13
Figure 5. Percentage of Unemployed Receiving Temporary (EUC, TEUC, or EUC08)
Benefits or Extended Benefits......................................................................... 14
Figure 6. Pre- and Post-UI Benefit Poverty Rates of Persons, 1987-2011.......................... 16
Figure 7. Number of Persons Lifted Above Poverty as a Result of UI Benefit Receipt,
1987-2011 ........................................................................................... 17
Figure 8. Pre- and Post-UI Benefit Poverty Rates of Persons in Families that Received UI
Benefits, 1987-2011 ..................................................................................18
Figure 9. Percentage Reduction in the Poverty Rate as a Result of UI Benefit Receipt,
Overall Poverty Rate and Poverty Rate for Persons in Families that Received
Ul Benefits, 1987 -2011............................................................................... 19
Figure 10. UI Benefits: Aggregate Dollars and Dollars Reducing Poverty, 1987-2011 .......... 20
Figure 11. Share of Aggregate UI Benefits Going Toward Reducing Poverty, 1987-2011 ....21
Figure 12. Pre-Post UI Poverty Rates Among Unemployed Persons Who Received UI
Benefits and Those Who Did Not, 1987-2011 ....................................................... 23
Figure 13. Share of Unemployed Persons Who Had No Earnings in the Year, by UI
Receipt, 1987-2011................................................................................... 24Congressional Research Service
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Gabe, Thomas & Whittaker, Julie M. Antipoverty Effects of Unemployment Insurance, report, October 16, 2012; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc807041/m1/3/: accessed April 25, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.