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The demand for, and impact of, youth internships: evidence from a randomized experiment in Yemen

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Listed:
  • David McKenzie

    (World Bank)

  • Nabila Assaf

    (World Bank)

  • Ana Paula Cusolito

    (World Bank)

Abstract

This paper evaluates a youth internship program in Yemen. We examine the demand for the program and find an oversupply of graduates in science, technology, engineering, and mathematics and a relative undersupply of graduates in marketing and business. Conditional on the types of graduates firms were looking to hire, applicants were then randomly chosen for the program. Receiving an internship resulted in an almost doubling of work experience in 2014 and a 73 % increase in income. A follow-up survey shows that internship recipients had better employment outcomes than the control group in the first 5 months after the program. JEL codes: O12, O15, J08, J16

Suggested Citation

  • David McKenzie & Nabila Assaf & Ana Paula Cusolito, 2016. "The demand for, and impact of, youth internships: evidence from a randomized experiment in Yemen," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-15, December.
    • Handle: RePEc:spr:izaldv:v:5:y:2016:i:1:d:10.1186_s40175-016-0048-8
    DOI: 10.1186/s40175-016-0048-8
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    1. Matthew Groh & David McKenzie & Nour Shammout & Tara Vishwanath, 2015. "Testing the importance of search frictions and matching through a randomized experiment in Jordan," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-20, December.
    2. Miriam Bruhn & David McKenzie, 2009. "In Pursuit of Balance: Randomization in Practice in Development Field Experiments," American Economic Journal: Applied Economics, American Economic Association, vol. 1(4), pages 200-232, October.
    3. Emanuela Galasso & Martin Ravallion & Agustin Salvia, 2004. "Assisting the Transition from Workfare to Work: A Randomized Experiment," ILR Review, Cornell University, ILR School, vol. 58(1), pages 128-142, October.
    4. David Card & Pablo Ibarrarán & Ferdinando Regalia & David Rosas-Shady & Yuri Soares, 2011. "The Labor Market Impacts of Youth Training in the Dominican Republic," Journal of Labor Economics, University of Chicago Press, vol. 29(2), pages 267-300.
    5. McKenzie, David, 2012. "Beyond baseline and follow-up: The case for more T in experiments," Journal of Development Economics, Elsevier, vol. 99(2), pages 210-221.
    6. Orazio Attanasio & Adriana Kugler & Costas Meghir, 2011. "Subsidizing Vocational Training for Disadvantaged Youth in Colombia: Evidence from a Randomized Trial," American Economic Journal: Applied Economics, American Economic Association, vol. 3(3), pages 188-220, July.
    7. Independent Evaluation Group, 2012. "Youth Employment Programs : An Evaluation of World Bank and International Finance Corporation Support," World Bank Publications - Books, The World Bank Group, number 12225, December.
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    Citations

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    Cited by:

    1. Livia Alfonsi & Oriana Bandiera & Vittorio Bassi & Robin Burgess & Imran Rasul & Munshi Sulaiman & Anna Vitali, 2020. "Tackling Youth Unemployment: Evidence From a Labor Market Experiment in Uganda," Econometrica, Econometric Society, vol. 88(6), pages 2369-2414, November.
    2. David McKenzie, 2017. "How Effective Are Active Labor Market Policies in Developing Countries? A Critical Review of Recent Evidence," The World Bank Research Observer, World Bank, vol. 32(2), pages 127-154.
    3. Björn Nilsson, 2019. "The School-to-Work Transition in Developing Countries," Journal of Development Studies, Taylor & Francis Journals, vol. 55(5), pages 745-764, May.
    4. Thomas Bolli & Katherine Caves & Maria Esther Oswald-Egg, 2021. "Valuable Experience: How University Internships Affect Graduates’ Income," Research in Higher Education, Springer;Association for Institutional Research, vol. 62(8), pages 1198-1247, December.
    5. Thomas Bolli & Katherine Caves & Maria Esther Oswald-Egg, 2019. "Valuable experience: How internships affect university graduates’ income," KOF Working papers 19-459, KOF Swiss Economic Institute, ETH Zurich.
    6. Beber, Bernd & Dworschak, Regina & Lakemann, Tabea & Lay, Jann & Priebe, Jan, 2021. "Skills Development and Training Interventions in Africa: Findings, Challenges, and Opportunities," RWI Projektberichte, RWI - Leibniz-Institut für Wirtschaftsforschung, number 247426.
    7. David McKenzie & Nabila Assaf & Ana Paula Cusolito, 2017. "The additionality impact of a matching grant programme for small firms: experimental evidence from Yemen," Journal of Development Effectiveness, Taylor & Francis Journals, vol. 9(1), pages 1-14, January.
    8. Beam, Emily A. & Quimbo, Stella, 2021. "The Impact of Short-Term Employment for Low-Income Youth: Experimental Evidence from the Philippines," IZA Discussion Papers 14661, Institute of Labor Economics (IZA).
    9. Nicolò Bird, 2020. "Evidence from global practices of active labour market policies for young people’s transition to work," Policy Research Brief 71, International Policy Centre for Inclusive Growth.

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    More about this item

    Keywords

    Internship; Active labor market program; Randomized experiment; Fragile state;
    All these keywords.

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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