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Targeting Labour Market Programmes - Results from a Randomized Experiment

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Author Info

  • Stefanie Behncke
  • Markus Frölich
  • Michael Lechner

Abstract

We evaluate a randomized experiment of a statistical support system developed to assist caseworkers in Swiss employment offices in choosing appropriate active labour market programmes for their unemployed clients. The support system was piloted in several employment offices in which, randomly, half of the caseworkers used the system and the other half acted as control group. Caseworkers retained full discretion about the choice of active labour market programmes, and the evaluation results showed that caseworkers largely did not follow the statistical support system. This indicates that stronger incentives are needed for caseworkers to comply with statistical profiling and targeting systems.

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File URL: http://www.sjes.ch/papers/2009-III-1.pdf
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Bibliographic Info

Article provided by Swiss Society of Economics and Statistics (SSES) in its journal Swiss Journal of Economics and Statistics.

Volume (Year): 145 (2009)
Issue (Month): III (September)
Pages: 221-268

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Handle: RePEc:ses:arsjes:2009-iii-1

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Related research

Keywords: Profiling; active labour market programmes; ALMP; statistical treatment rules; unemployment; public employment services;

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References

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  1. Lalive, Rafael & van Ours, Jan C & Zweimüller, Josef, 2002. "The Effect of Benefit Sanctions on the Duration of Unemployment," CEPR Discussion Papers 3311, C.E.P.R. Discussion Papers.
  2. Dan A. Black & Jeffrey A. Smith & Mark C. Berger & Brett J. Noel, 2003. "Is the Threat of Reemployment Services More Effective Than the Services Themselves? Evidence from Random Assignment in the UI System," American Economic Review, American Economic Association, vol. 93(4), pages 1313-1327, September.
  3. Christopher J. O'Leary & Paul T. Decker & Stephen A. Wandner, 2003. "Cost-Effectiveness of Targeted Reemployment Bonuses," Mathematica Policy Research Reports 3507, Mathematica Policy Research.
  4. Lechner, Michael & Smith, Jeffrey, 2003. "What is the Value Added by Caseworkers?," CEPR Discussion Papers 3825, C.E.P.R. Discussion Papers.
  5. Staghøj, Jonas & Svarer, Michael & Rosholm, Michael, 2007. "A Statistical Programme Assignment Model," IZA Discussion Papers 3165, Institute for the Study of Labor (IZA).
  6. Markus Frölich, 2006. "Statistical treatment choice: an application to active labour market programmes," CeMMAP working papers CWP24/06, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
  7. Robert Moffitt, 2006. "Welfare work Requirements with Paternalistic Government Preferences," Economic Journal, Royal Economic Society, vol. 116(515), pages F441-F458, November.
  8. Nicola Persico & Petra Todd, 2005. "Passenger Profiling, Imperfect Screening, and Airport Security," PIER Working Paper Archive 05-005, Penn Institute for Economic Research, Department of Economics, University of Pennsylvania.
  9. Charles F. Manski, 2004. "Statistical Treatment Rules for Heterogeneous Populations," Econometrica, Econometric Society, vol. 72(4), pages 1221-1246, 07.
  10. Rajeev Dehejia, 1999. "Program Evaluation as a Decision Problem," NBER Working Papers 6954, National Bureau of Economic Research, Inc.
  11. Randall W. Eberts & Christopher J. O'Leary, 2002. "A Frontline Decision Support System for Georgia Career Centers," Upjohn Working Papers and Journal Articles 02-84, W.E. Upjohn Institute for Employment Research.
  12. William C. Horrace & Peter Schmidt, 2000. "Multiple comparisons with the best, with economic applications," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(1), pages 1-26.
  13. Arulampalam, W. & Robin A. Naylor & Jeremy P. Smith, 2002. "University of Warwick," Royal Economic Society Annual Conference 2002 9, Royal Economic Society.
  14. Peter Fredriksson & Per Johansson, 2003. "Program Evaluation and Random Program Starts," CESifo Working Paper Series 844, CESifo Group Munich.
  15. Nicola Persico & Petra Todd, 2006. "Generalising the Hit Rates Test for Racial Bias in Law Enforcement, With an Application to Vehicle Searches in Wichita," Economic Journal, Royal Economic Society, vol. 116(515), pages F351-F367, November.
  16. Manski, Charles F., 2000. "Identification problems and decisions under ambiguity: Empirical analysis of treatment response and normative analysis of treatment choice," Journal of Econometrics, Elsevier, vol. 95(2), pages 415-442, April.
  17. Christopher J. O'Leary & Paul Decker & Stephen A. Wandner, 2002. "Targeting Reemployment Bonuses," Mathematica Policy Research Reports 3005, Mathematica Policy Research.
  18. Bell, Stephen H. & Orr, Larry L., 2002. "Screening (and creaming?) applicants to job training programs: the AFDC homemaker-home health aide demonstrations," Labour Economics, Elsevier, vol. 9(2), pages 279-301, April.
  19. Alex Bryson & Diana Kasparova, 2003. "Profiling benefit claimants in Britain: a feasibility study," LSE Research Online Documents on Economics 4991, London School of Economics and Political Science, LSE Library.
  20. Charles F. Manski, 2005. "Search Profiling with Partial Knowledge of Deterrence," NBER Working Papers 11848, National Bureau of Economic Research, Inc.
  21. Frölich, Markus & Lechner, Michael & Steiger, Heidi, 2003. "Statistically assisted programme selection - International experiences and potential benefits for Switzerland," Working Paper Series 2004:1, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  22. Mark C. Berger & Dan Black & Jeffrey Smith, 2000. "Evaluating Profiling as a Means of Allocating Government Services," UWO Department of Economics Working Papers 200018, University of Western Ontario, Department of Economics.
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Citations

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Cited by:
  1. Luis Ayala & Magdalena Rodríguez, 2010. "Evaluating welfare reform under program heterogeneity and alternative measures of success," Working Papers 186, ECINEQ, Society for the Study of Economic Inequality.
  2. Staghøj, Jonas & Svarer, Michael & Rosholm, Michael, 2007. "A Statistical Programme Assignment Model," IZA Discussion Papers 3165, Institute for the Study of Labor (IZA).
  3. Djebbari, Habiba & Smith, Jeffrey A., 2008. "Heterogeneous Impacts in PROGRESA," IZA Discussion Papers 3362, Institute for the Study of Labor (IZA).
  4. Pierre Koning, 2009. "The effectiveness of Public Employment Service workers in the Netherlands," Empirical Economics, Springer, vol. 37(2), pages 393-409, October.
  5. Mitnik, Oscar A., 2009. "How Do Training Programs Assign Participants to Training? Characterizing the Assignment Rules of Government Agencies for Welfare-to-Work Programs in California," IZA Discussion Papers 4024, Institute for the Study of Labor (IZA).
  6. Weber, Andrea, 2008. "Individual Incentives in Program Participation: Splitting up the Process in Assignment and Enrollment," IZA Discussion Papers 3404, Institute for the Study of Labor (IZA).
  7. Philip J. O’Connell & Seamus Mcguinness & Elish Kelly, 2012. "The Transition from Short- to Long-Term Unemployment: A Statistical Profiling Model for Ireland," The Economic and Social Review, Economic and Social Studies, vol. 43(1), pages 135–164.

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