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Evaluating the Employment Impact of a Mandatory Job Search Programme

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Author Info
Blundell, Richard William
Costa Dias, Monica
Meghir, Costas
Van Reenen, John

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Abstract

This Paper exploits area-based piloting and age-related eligibility rules to identify treatment effects of a labour market program – the New Deal for Young People in the UK. A central focus is on substitution/displacement effects and on equilibrium wage effects. The programme includes extensive job assistance and wage subsidies to employers. We find that the programme significantly raised transitions to employment by about five percentage points (about 20% over the pre-program base). The impact is robust to a wide variety of non-experimental estimators. We present some evidence suggesting that this effect may not, however, be as large in the longer run.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 3786.

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Date of creation: Feb 2003
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Handle: RePEc:cpr:ceprdp:3786

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Related research
Keywords: job search; labour market programme evalution; wage subsidy;

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Find related papers by JEL classification:
J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Rebecca M. Blank, David Card and Philip K. Robins, 1999. "Financial Incentives for Increasing Work and Income Among Low-Income Families," Economics Working Papers E99-264, University of California at Berkeley. [Downloadable!]
    Other versions:
  2. Richard Blundell & Alan Duncan & Costas Meghir, 1995. "Estimating labour supply responses using tax reforms," IFS Working Papers W95/07, Institute for Fiscal Studies.
    Other versions:
  3. Lawrence F. Katz, 1996. "Wage Subsidies for the Disadvantaged," NBER Working Papers 5679, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January. [Downloadable!] (restricted)
  5. Dickens, Richard & Machin, Stephen & Manning, Alan, 1999. "The Effects of Minimum Wages on Employment: Theory and Evidence from Britain," Journal of Labor Economics, University of Chicago Press, vol. 17(1), pages 1-22, January. [Downloadable!] (restricted)
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  6. Richard Layard, 2000. "Welfare-to-work and the New Deal," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 136(III), pages 277-287, September. [Downloadable!]
    Other versions:
    • Richard Layard, 2000. "Welfare-to-work and the New Deal," World Economics, World Economics, Economic & Financial Publishing, PO Box 69, Henley-on-Thames, Oxfordshire, United Kingdom, RG9 1GB, vol. 1(2), pages 29-39, April. [Downloadable!]
  7. Heckman, James J & Ichimura, Hidehiko & Todd, Petra E, 1997. "Matching as an Econometric Evaluation Estimator: Evidence from Evaluating a Job Training Programme," Review of Economic Studies, Blackwell Publishing, vol. 64(4), pages 605-54, October. [Downloadable!] (restricted)
  8. Burtless, Gary, 1995. "The Case for Randomized Field Trials in Economic and Policy Research," Journal of Economic Perspectives, American Economic Association, vol. 9(2), pages 63-84, Spring. [Downloadable!] (restricted)
  9. Ashenfelter, Orley & Card, David, 1985. "Using the Longitudinal Structure of Earnings to Estimate the Effect of Training Programs," The Review of Economics and Statistics, MIT Press, vol. 67(4), pages 648-60, November. [Downloadable!] (restricted)
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This page was last updated on 2009-11-25.

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