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Job creation policies and the Great Recession

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  • David Neumark

Abstract

The adverse labor market effects of the Great Recession have intensified interest in policy efforts to spur job creation. The two most direct job creation policies are subsidies that go to workers and hiring credits that go to employers. Evidence indicates that worker subsidies are generally more effective at creating jobs. However, the unique circumstances of recovery from the Great Recession, especially the weak demand for labor, make hiring credits more effective in the short term.

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Bibliographic Info

Article provided by Federal Reserve Bank of San Francisco in its journal FRBSF Economic Letter.

Volume (Year): (2012)
Issue (Month): mar19 ()
Pages:

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Handle: RePEc:fip:fedfel:y:2012:i:mar19:n:2012-08

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Keywords: Labor market ; Public policy;

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  1. David Neumark, 2011. "Spurring Job Creation in Response to Severe Recessions: Reconsidering Hiring Credits," NBER Working Papers 16866, National Bureau of Economic Research, Inc.
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