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Chicago Fed Letter, No. 47, July 1991
Unemployment Insurance: Countercyclical or Counterproductive?

The Unemployment Insurance (UI) system's goal of providing income maintenance, and thus economic stability, will surely be put to a test this year. Policy issues relating to the program's effectiveness as a countercyclical tool will also become increasingly important.

Federal Reserve Bank of Chicago, 230 South LaSalle Street, Chicago, Illinois 60604-1413, USA. Tel. (312) 322-5322

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