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Peter Saunders and Kayoko Tsumori argue that introducing a six month time limit on unemployment benefits could dramatically reduce long-term unemployment in Australia. Time limits create a sense of urgency for the unemployed to find work and for Job Network agencies whose task it is to provide assistance and training. This could reduce the incidence of long-term unemployment by 50%, making it clear to claimants and their service providers that assistance is temporary and that prompt return to work is expected.

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