IDEAS home Printed from https://ideas.repec.org/p/ctl/louvec/2007016.html
   My bibliography  Save this paper

IIs the Notification of Monitoring a Threat to the Unemployed ? A Regression Discontinuity Approach

Author

Listed:
  • Bart, COCKX

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Department of Economics)

  • Muriel, DEJEMEPPE

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Department of Economics)

Abstract

In july 2004, the Belgian government intensified monitoring within the Unemployment Insurance scheme. Workers claiming unemployment benefits for more than 13 months are notified that past job-search behavior will be monitored 8 months later. In one region the target group is counseled shortly after the notification, while in others not or only once the monitoring has taken place. We exploit the discontinuity in the treatment assignment at the age of 30 to evaluate the threat effect of the notification on the probability of employment. We find that the effect is heterogeneous and critically depends on whether and when notified workers are counseled.

Suggested Citation

  • Bart, COCKX & Muriel, DEJEMEPPE, 2007. "IIs the Notification of Monitoring a Threat to the Unemployed ? A Regression Discontinuity Approach," Discussion Papers (ECON - Département des Sciences Economiques) 2007016, Université catholique de Louvain, Département des Sciences Economiques.
  • Handle: RePEc:ctl:louvec:2007016
    as

    Download full text from publisher

    File URL: http://sites.uclouvain.be/econ/DP/IRES/2007-16.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Jaap H. Abbring & Gerard J. Berg & Jan C. Ours, 2005. "The Effect of Unemployment Insurance Sanctions on the Transition Rate from Unemployment to Employment," Economic Journal, Royal Economic Society, vol. 115(505), pages 602-630, July.
    2. Bart, COCKX & Jean, RIES, 2004. "The Exhaustion of Unemployment Benefits in Belgium. Does it Enhance the Probability of Employment ?," LIDAM Discussion Papers IRES 2004016, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    3. Jan Boone & Peter Fredriksson & Bertil Holmlund & Jan C. van Ours, 2007. "Optimal Unemployment Insurance with Monitoring and Sanctions," Economic Journal, Royal Economic Society, vol. 117(518), pages 399-421, March.
    4. Edwin Leuven & Hessel Oosterbeek, 2004. "Evaluating the Effect of Tax Deductions on Training," Journal of Labor Economics, University of Chicago Press, vol. 22(2), pages 461-488, April.
    5. Bruno, CREPON & Muriel, DEJEMEPPE & Marc, GURGAND, 2005. "Counseling the unemployed : does it lower unemployment duration and recurrence ?," Discussion Papers (ECON - Département des Sciences Economiques) 2005034, Université catholique de Louvain, Département des Sciences Economiques.
    6. Graversen, B.K. & van Ours, J.C., 2006. "How to Help Unemployed Find Jobs Quickly : Experimental Evidence from a Mandatory Activation Program," Discussion Paper 2006-126, Tilburg University, Center for Economic Research.
    7. Cees Gorter & Guyonne R. J. Kalb, 1996. "Estimating the Effect of Counseling and Monitoring the Unemployed Using a Job Search Model," Journal of Human Resources, University of Wisconsin Press, vol. 31(3), pages 590-610.
    8. Peter Fredriksson & Bertil Holmlund, 2006. "Improving Incentives in Unemployment Insurance: A Review of Recent Research," Journal of Economic Surveys, Wiley Blackwell, vol. 20(3), pages 357-386, July.
    9. Lemieux, Thomas & Milligan, Kevin, 2008. "Incentive effects of social assistance: A regression discontinuity approach," Journal of Econometrics, Elsevier, vol. 142(2), pages 807-828, February.
    10. Richard Blundell & Monica Costa Dias & Costas Meghir & John Van Reenen, 2004. "Evaluating the Employment Impact of a Mandatory Job Search Program," Journal of the European Economic Association, MIT Press, vol. 2(4), pages 569-606, June.
    11. Justin McCrary, 2007. "Manipulation of the Running Variable in the Regression Discontinuity Design: A Density Test," NBER Technical Working Papers 0334, National Bureau of Economic Research, Inc.
    12. Ashenfelter, Orley & Ashmore, David & Deschenes, Olivier, 2005. "Do unemployment insurance recipients actively seek work? Evidence from randomized trials in four U.S. States," Journal of Econometrics, Elsevier, vol. 125(1-2), pages 53-75.
    13. 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.
    14. Geerdsen, Lars Pico & Holm, Anders, 2007. "Duration of UI periods and the perceived threat effect from labour market programmes," Labour Economics, Elsevier, vol. 14(3), pages 639-652, June.
    15. Lee, David S. & Card, David, 2008. "Regression discontinuity inference with specification error," Journal of Econometrics, Elsevier, vol. 142(2), pages 655-674, February.
    16. Anders Forslund & Oskar Nordström Stans, 2006. "Swedish Youth Labour Market Policies Revisited," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 75(3), pages 168-185.
    17. Wooldridge, Jeffrey M., 1997. "On two stage least squares estimation of the average treatment effect in a random coefficient model," Economics Letters, Elsevier, vol. 56(2), pages 129-133, October.
    18. 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.
    19. Lars Pico Geerdsen, 2006. "Is there a Threat Effect of Labour Market Programmes? A Study of ALMP in the Danish UI System," Economic Journal, Royal Economic Society, vol. 116(513), pages 738-750, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Seamus McGuinness & Philip J. O’Connell & Elish Kelly, 2019. "Carrots, No Stick, No Driver: The Employment Impact of Job Search Assistance in a Regime with Minimal Monitoring and Sanctions," Journal of Labor Research, Springer, vol. 40(2), pages 151-180, June.
    2. McGuinness, Seamus & O'Connell, Philip J. & Kelly, Elish & Walsh, John R., 2011. "Activation in Ireland: An Evaluation of the National Employment Action Plan," Research Series, Economic and Social Research Institute (ESRI), number RS20, June.
    3. Mich�le Belot & Vincent Vandenberghe, 2014. "Evaluating the 'threat' effects of grade repetition: exploiting the 2001 reform by the French-Speaking Community of Belgium," Education Economics, Taylor & Francis Journals, vol. 22(1), pages 73-89, February.
    4. McGuinness, Seamus & O'Connell, Philip J. & Kelly, Elish, 2011. "Carrots without Sticks: The Impacts of Job Search Assistance in a Regime with Minimal Monitoring and Sanctions," Papers WP409, Economic and Social Research Institute (ESRI).
    5. Svarer, Michael, 2007. "The Effect of Sanctions on the Job Finding Rate: Evidence from Denmark," IZA Discussion Papers 3015, Institute of Labor Economics (IZA).
    6. Bruno Crepon & Marc Ferracci & Grégory Jolivet & Gerard Van Den Berg, 2010. "Analyzing the Anticipation of Treatments with Data on Notification Dates," Working Papers 2010-41, Center for Research in Economics and Statistics.
    7. Muriel Dejemeppe & Bruno Van der Linden & Andrey Launov & Bart Cockx, 2011. "Monitoring and Sanctions in a Non-Stationary Structural Job-Search Model," 2011 Meeting Papers 501, Society for Economic Dynamics.
    8. Rosholm, Michael, 2008. "Experimental Evidence on the Nature of the Danish Employment Miracle," Working Papers 08-14, University of Aarhus, Aarhus School of Business, Department of Economics.
    9. Hartman, Laura & Hesselius, Patrik & Johansson, Per, 2013. "Effects of eligibility screening in the sickness insurance: Evidence from a field experiment," Labour Economics, Elsevier, vol. 20(C), pages 48-56.
    10. Jonas Maibom & Michael Rosholm & Michael Svarer, 2017. "Experimental Evidence on the Effects of Early Meetings and Activation," Scandinavian Journal of Economics, Wiley Blackwell, vol. 119(3), pages 541-570, July.
    11. Kelly, Elish & McGuinness, Seamus & O'Connell, Philip J., 2011. "What Can Active Labour Market Policies Do?," Papers EC1, Economic and Social Research Institute (ESRI).
    12. Cockx, Bart & Dejemeppe, Muriel, 2012. "Monitoring job search effort: An evaluation based on a regression discontinuity design," Labour Economics, Elsevier, vol. 19(5), pages 729-737.
    13. repec:dau:papers:123456789/6913 is not listed on IDEAS

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. McGuinness, Seamus & O'Connell, Philip J. & Kelly, Elish & Walsh, John R., 2011. "Activation in Ireland: An Evaluation of the National Employment Action Plan," Research Series, Economic and Social Research Institute (ESRI), number RS20, June.
    2. Bart Cockx & Muriel Dejemeppe, 2010. "The Threat of Monitoring Job Search. A Discontinuity Design," CESifo Working Paper Series 3267, CESifo.
    3. Kelly, Elish & McGuinness, Seamus & O'Connell, Philip J., 2011. "What Can Active Labour Market Policies Do?," Papers EC1, Economic and Social Research Institute (ESRI).
    4. Jonas Maibom & Michael Rosholm & Michael Svarer, 2017. "Experimental Evidence on the Effects of Early Meetings and Activation," Scandinavian Journal of Economics, Wiley Blackwell, vol. 119(3), pages 541-570, July.
    5. Micklewright, John & Nagy, Gyula, 2008. "Job Search Monitoring and Unemployment Duration: Evidence from a Randomised Control Trial," CEPR Discussion Papers 6711, C.E.P.R. Discussion Papers.
    6. Stefanie Behncke & Markus Frölich & Michael Lechner, 2010. "Unemployed and their caseworkers: should they be friends or foes?," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 173(1), pages 67-92, January.
    7. Graversen, B.K. & van Ours, J.C., 2006. "How to Help Unemployed Find Jobs Quickly : Experimental Evidence from a Mandatory Activation Program," Discussion Paper 2006-126, Tilburg University, Center for Economic Research.
    8. Rosholm, Michael, 2008. "Experimental Evidence on the Nature of the Danish Employment Miracle," Working Papers 08-14, University of Aarhus, Aarhus School of Business, Department of Economics.
    9. Jan C. van Ours, 2007. "Compulsion in active labour market programmes," National Institute Economic Review, National Institute of Economic and Social Research, vol. 202(1), pages 67-78, October.
    10. van Ours, Jan C. & Krogh Graversen, Brian, 2007. "How to Help Unemployed Find Jobs Quickly; Experimental Evidence from a Mandatory Activation Program," CEPR Discussion Papers 6057, C.E.P.R. Discussion Papers.
    11. Petrongolo, Barbara, 2009. "The long-term effects of job search requirements: Evidence from the UK JSA reform," Journal of Public Economics, Elsevier, vol. 93(11-12), pages 1234-1253, December.
    12. Kluve, Jochen & Fertig, Michael & Jacobi, Lena & Nima, Leonhard & Schaffner, Sandra & Schmidt, Christoph M. & Card, David & Góra, Marek & Jensen, Peter & Leetmaa, Reelika & Patacchini, Eleonora & van , 2005. "Study on the effectiveness of ALMPs: Research project for the European Commission, DG Employment, Social Affairs and Equal Opportunities. Final report," RWI Projektberichte, RWI - Leibniz-Institut für Wirtschaftsforschung, number 69929.
    13. Seamus McGuinness & Philip J. O’Connell & Elish Kelly, 2019. "Carrots, No Stick, No Driver: The Employment Impact of Job Search Assistance in a Regime with Minimal Monitoring and Sanctions," Journal of Labor Research, Springer, vol. 40(2), pages 151-180, June.
    14. Boone, Jan & Sadrieh, Abdolkarim & van Ours, Jan C., 2009. "Experiments on unemployment benefit sanctions and job search behavior," European Economic Review, Elsevier, vol. 53(8), pages 937-951, November.
    15. Bruno Crépon & Muriel Dejemeppe & Marc Gurgand, 2005. "Counseling the unemployed: does it lower unemployment duration and recurrence?," Working Papers halshs-00590769, HAL.
    16. Manning, Alan, 2009. "You can't always get what you want: The impact of the UK Jobseeker's Allowance," Labour Economics, Elsevier, vol. 16(3), pages 239-250, June.
    17. Morescalchi Andrea & Paruolo Paolo, 2020. "Too Much Stick for the Carrot? Job Search Requirements and Search Behaviour of Unemployment Benefit Claimants," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 20(1), pages 1-21, January.
    18. Graversen, Brian Krogh & van Ours, Jan C., 2008. "How to help unemployed find jobs quickly: Experimental evidence from a mandatory activation program," Journal of Public Economics, Elsevier, vol. 92(10-11), pages 2020-2035, October.
    19. van der Klaauw, Bas & Ziegler, Lennart, 2019. "A Field Experiment on Labor Market Speeddates for Unemployed Workers," CEPR Discussion Papers 13516, C.E.P.R. Discussion Papers.
    20. Micklewright, John & Nagy, Gyula, 2010. "The effect of monitoring unemployment insurance recipients on unemployment duration: Evidence from a field experiment," Labour Economics, Elsevier, vol. 17(1), pages 180-187, January.

    More about this item

    Keywords

    evaluation; monitoring job-search; threat effect; regression-discontinuity;
    All these keywords.

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • H43 - Public Economics - - Publicly Provided Goods - - - Project Evaluation; Social Discount Rate

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ctl:louvec:2007016. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Virginie LEBLANC (email available below). General contact details of provider: https://edirc.repec.org/data/iruclbe.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.