The paper discusses three aspects of the system for unemployment support. First, active labour market programmes as a means of re-allocating labour from high-unemployment to low-unemployment sectors are analysed, and it is concluded that wage-raising accommodation effects may be a serious problem. Second, the possibility of strengthening incentives for wage moderation by differentiating employee and/or employer contributions to unemployment insurance are discussed. Third, the question is raised whether there may exist other institutional set-ups for providing unemployment support that are more efficient in terms of returning the unemployed to work than government-run systems.