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The Aggregate Labor Market Effects of the Swedish Knowledge Lift Program

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Author Info

  • James Albrecht

    (Georgetown University)

  • Gerard van den Berg

    (VU University Amsterdam)

  • Susan Vroman

    (Georgetown University)

Abstract

The Swedish adult education program known as the Knowledge Lift (1997-2002) was unprecedented in its size and scope, aiming to raise the skill level of large numbers of low-skill workers. This paper evaluates the potential effects of this program on aggregate labor market outcomes. This is done by calibrating an equilibrium search model with heterogenous worker skills using pre-program data and then forecasting the program impacts. We compare the forecasts to observed aggregate labor market outcomes after termination of the program. (Copyright: Elsevier)

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File URL: http://dx.doi.org/10.1016/j.red.2008.01.002
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Bibliographic Info

Article provided by Elsevier for the Society for Economic Dynamics in its journal Review of Economic Dynamics.

Volume (Year): 12 (2009)
Issue (Month): 1 (January)
Pages: 129-146

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Handle: RePEc:red:issued:06-176

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Related research

Keywords: Job search; Program evaluation; Wages; Unemployment; Swedish labor market; Calibration;

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References

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  1. Albrecht, James & van den Berg, Gerard J & Vroman, Susan, 2004. "The knowledge lift: The Swedish adult education program that aimed to eliminate low worker skill levels," Working Paper Series 2004:17, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  2. Gautier, P.A. & Berg, G. van den & Ours, J.C. van & Ridder, G., 2002. "Worker turnover at the firm level and crowding out of lower educated workers," Open Access publications from Tilburg University urn:nbn:nl:ui:12-91480, Tilburg University.
  3. Martin, John P. & Grubb, David, 2001. "What works and for whom: a review of OECD countries' experiences with active labour market policies," Working Paper Series 2001:14, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  4. Christopher A. Pissarides & Barbara Petrongolo, 2001. "Looking into the Black Box: A Survey of the Matching Function," Journal of Economic Literature, American Economic Association, vol. 39(2), pages 390-431, June.
  5. Jeremy Lise & Shannon Seitz & Jeffrey Smith, 2003. "Equilibrium Policy Experiments and the Evaluation of Social Programs," University of Western Ontario, CIBC Centre for Human Capital and Productivity Working Papers 20032, University of Western Ontario, CIBC Centre for Human Capital and Productivity.
  6. James J. Heckman & Lance Lochner & Christopher Taber, 1998. "General Equilibrium Treatment Effects: A Study of Tuition Policy," NBER Working Papers 6426, National Bureau of Economic Research, Inc.
  7. Robert G. Fay, 1996. "Enhancing the Effectiveness of Active Labour Market Policies: Evidence from Programme Evaluations in OECD Countries," OECD Labour Market and Social Policy Occasional Papers 18, OECD Publishing.
  8. Davidson, Carl & Matusz, Steven J. & Shevchenko, Andrei, 2008. "Globalization and firm level adjustment with imperfect labor markets," Journal of International Economics, Elsevier, vol. 75(2), pages 295-309, July.
  9. Edin, P.-A. & Fredriksson, P., 2000. "LINDA - Longitudinal INdividual DAta for Sweden," Papers 2000-19, Uppsala - Working Paper Series.
  10. James Albrecht & Susan Vroman, 2000. "A Matching Model with Endogenous Skill Requirements," Econometric Society World Congress 2000 Contributed Papers 0774, Econometric Society.
  11. Robert Shimer, 2005. "The Cyclical Behavior of Equilibrium Unemployment and Vacancies," American Economic Review, American Economic Association, vol. 95(1), pages 25-49, March.
  12. Stenberg, Anders, 2003. "An Evaluation of the Adult Education Initiative Relative Labor Market Training," UmeÃ¥ Economic Studies 609, Umeå University, Department of Economics.
  13. Louis S. Jacobson & Robert LaLonde & Daniel G. Sullivan, 2003. "Should we teach old dogs new tricks? the impact of community college retraining on older displaced workers," Working Paper Series WP-03-25, Federal Reserve Bank of Chicago.
  14. Richardson, Katarina & van den Berg, Gerard J, 2006. "Swedish Labour Market Training and the Duration of Unemployment," CEPR Discussion Papers 5895, C.E.P.R. Discussion Papers.
  15. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier.
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Citations

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Cited by:
  1. Bergemann, Annette & Fitzenberger, Bernd & Speckesser, Stefan, 2005. "Evaluating the Dynamic Employment Effects of Training Programs in East Germany Using Conditional Difference-in-Differences," IZA Discussion Papers 1848, Institute for the Study of Labor (IZA).
  2. Bergemann, Annette & van den Berg, Gerard J., 2014. "From giving birth to paid labor: the effects of adult education for prime-aged mothers," Working Paper Series 2014:5, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  3. Wolthoff, Ronald P., 2010. "Applications and Interviews: A Structural Analysis of Two-Sided Simultaneous Search," IZA Discussion Papers 5416, Institute for the Study of Labor (IZA).
  4. Alexius, Annika & Holmlund, Bertil, 2007. "Monetary Policy and Swedish Unemployment Fluctuations," Economics Discussion Papers 2007-34, Kiel Institute for the World Economy.
  5. Lamo, Ana & Messina, Julián & Wasmer, Etienne, 2010. "Are Specific Skills an Obstacle to Labor Market Adjustment?," IZA Discussion Papers 5250, Institute for the Study of Labor (IZA).
  6. Bergemann, Annette & van den Berg, Gerard J., 2008. "From Giving Birth to Paid Labor: The Effects of Adult Education for Prime-Aged Mothers," IZA Discussion Papers 3600, Institute for the Study of Labor (IZA).
  7. Volker Meier, 2010. "Programmauswahl in der aktiven Arbeitsmarktpolitik durch Selbstbeteiligung?," Ifo Schnelldienst, Ifo Institute for Economic Research at the University of Munich, vol. 63(17), pages 27-29, 09.
  8. Singer, Christine & Toomet, Ott-Siim, 2013. "On government-subsidized training programs for older workers," IAB Discussion Paper 201321, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
  9. Natalya Y. Shelkova, 2009. "Collusion at the Non-Binding Minimum Wage: An Automatic Stabilizer?," Working papers 2009-41, University of Connecticut, Department of Economics.
  10. Richardson, Katarina & van den Berg, Gerard J, 2008. "Duration dependence versus unobserved heterogeneity in treatment effects: Swedish labor market training and the transition rate to employment," Working Paper Series 2008:7, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  11. Stenberg, Anders & Westerlund, Olle, 2014. "The long-term earnings consequences of general vs. specific training of the unemployed," Working Paper Series 2014:3, IFAU - Institute for Evaluation of Labour Market and Education Policy.

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