In this article, we use data from the European Community Household Panel to evaluate the impact of a French guaranteed income program, the RMI, on the hazard out of unemployment. Self-selection into the program is corrected using a multivariate duration model developed by [Abbring, J.H., van den Berg, G.J., 2003. The non-parametric identification of treatment effects in duration models. Econometrica 71 (5), 1491-1517]. We find that RMI receipt has a strong negative impact during the first months of program participation, but that this disincentive effect quickly falls to insignificant levels after six months. Household structure also appears to be an important determinant of the importance of the adverse effect of program participation.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 16 (2009) Issue (Month): 2 (April) Pages: 171-182 Download reference. The following formats are available: HTML
(with abstract),
plain text
(with abstract),
BibTeX,
RIS (EndNote, RefMan, ProCite),
ReDIF