Between 1998 and 2008, average expenditures on PLMP in the United States on each unemployed worker were about 12 percent of GDP per capita, while the average level for the 20 other OECD countries in Chart 3 was about 25 percent of GDP per capita.
The empirical results suggest that if PLMP expenditures per unemployed worker increase by I percent of GDP per capita, from the OECD average of 25 percent to 26 percent, the unemployment rate would increase by 0.01 percentage point.
To pursue this idea further, column 2 of Table 1 separates PLMP expenditures into two common measures: the duration of unemployment benefits and the ratio of unemployment benefits to the past wage, also called the replacement ratio.
Data on ALMP and PLMP come from OECD's labor market programs data.
= [[beta].sub.i] + [[beta].sub.1] [(Labor Force Participation Rate).sub.i+] [[beta].sub.2][(Union Density).sub.it] + [[beta].sub.3][(Employment Protection).sub.it] + [[beta].sub.4][(Tax Wedge).sub.it] + [[beta].sub.5][(Output Gap).sub.it] + [[beta].sub.6][(ALMP).sub.it] + [[beta].sub.7] [(PLMP).sub.it] + [[epsilon].sub.it]
ALMP and PLMP represent expenditures on active and passive labor market policies per unemployed worker as a percentage of GDP per capita, respectively.
The second specification breaks down PLMP into the replacement ratio and duration of unemployment benefits:
The next chapter by McIntosh and Gerald Boychuk on PLMP
focuses on the alarming gap in the provision of income support for the unemployed that has emerged in the wake of shrinking coverage of federal income-insurance programs (UI/EI) and cutbacks in federal transfers to and provincial restrictions on income assistance programs (welfare).
In addition to comparing the type checking on this project with past versions of the same system (where the programming language, PLMP, provided much less type checking than C++), the benefits of type checking were also seen when the C++ code had to interface with the legacy PLMP code.
As mentioned earlier, the previous implementation language, PLMP, performs much less compile time type checking than C++, and neither language performs a significant amount of runtime type checking.