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Youth Unemployment and Government Policy

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  • Orszag, Mike
  • Snower, Dennis J.

Abstract

This paper discusses how employment vouchers should depend on age in a simple overlapping generations model in which workers are either young or old. We find that young workers should receive higher vouchers as displacement of the old rises and as the deadweight loss from providing vouchers to the old increases. We provide a simple characterization of the difference between youth and old vouchers in the context of our model.

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File URL: http://www.cepr.org/pubs/dps/DP1675.asp
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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1675.

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Date of creation: Jul 1997
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Handle: RePEc:cpr:ceprdp:1675

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Related research

Keywords: Adult Unemployment; Employment Policy; Long-Term Unemployment; Unemployment Benefits; Youth Unemployment;

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Cited by:
  1. Brown, Alessio J. G. & Merkl, Christian & Snower, Dennis J., 2007. "Comparing the Effectiveness of Employment Subsidies," IZA Discussion Papers 2835, Institute for the Study of Labor (IZA).
  2. Frank Oskamp & Dennis J. Snower, 2007. "Interactions between Employment and Training Policies," Kiel Working Papers 1389, Kiel Institute for the World Economy.
  3. Orszag, J. Michael & Snower, Dennis J., 2003. "Designing employment subsidies," Labour Economics, Elsevier, vol. 10(5), pages 557-572, October.
  4. Christian Merkl & Dennis J. Snower, 2007. "Escaping the Unemployment Trap � The Case of East Germany," Kiel Working Papers 1309, Kiel Institute for the World Economy.
  5. Frank Oskamp & Dennis J. Snower, 2006. "The Effect of Low-Wage Subsidies on Skills and Employment," Kiel Working Papers 1292, Kiel Institute for the World Economy.

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