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Employment, mobility, and active labor market programs

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  • Fredriksson, Peter

    ()
    (IFAU - Institute for Labour Market Policy Evaluation)

  • Johansson, Per

    ()
    (IFAU - Institute for Labour Market Policy Evaluation)

Abstract

Using a unique micro panel data set we investigate whether active labor market programs improve employment prospects and increase mobility in the longer run. We consider two prototype programs: job creation programs and training programs. We find that both programs reduce the chances of finding a job substantially. Moreover, both programs are associated with a locking-in effect: the probability of finding a job outside the home region decreases after program participation. However, this effect appears to stem exclusively from the decrease in the overall job finding rate.

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Bibliographic Info

Paper provided by IFAU - Institute for Evaluation of Labour Market and Education Policy in its series Working Paper Series with number 2003:3.

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Length: 39 pages
Date of creation: 24 Jan 2003
Date of revision:
Handle: RePEc:hhs:ifauwp:2003_003

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Postal: IFAU, P O Box 513, SE-751 20 Uppsala, Sweden
Phone: (+46) 18 - 471 70 70
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Web page: http://www.ifau.se/
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Keywords: Subsidized employment; labor market training; program evaluation; employment; contracted mobility;

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References

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  1. Larsson, Laura, 2000. "Evaluation of Swedish youth labour market programmes," Working Paper Series 2000:1, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  2. Diamond, Peter A, 1981. "Mobility Costs, Frictional Unemployment, and Efficiency," Journal of Political Economy, University of Chicago Press, vol. 89(4), pages 798-812, August.
  3. Edin, P.-A. & Fredriksson, P., 2000. "LINDA - Longitudinal INdividual DAta for Sweden," Papers 2000-19, Uppsala - Working Paper Series.
  4. Fredriksson, P., 1995. "The Dynamics of Regional Labour Markets and Active Labour Market Policy: Swedish Evidence," Papers 1995-20, Uppsala - Working Paper Series.
  5. Calmfors, Lars & Forslund, Anders & Hemström, Maria, 2002. "Does active labour market policy work? Lessons from the Swedish experiences," Working Paper Series 2002:4, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  6. Peter Fredriksson & Per Johansson, 2003. "Program Evaluation and Random Program Starts," CESifo Working Paper Series 844, CESifo Group Munich.
  7. Larsson, Laura, 2000. "Evaluation of Swedish Youth Labour Market Programmes," Working Paper Series 2000:6, Uppsala University, Department of Economics.
  8. Edin, P-A. & Holmlund, B., 1990. "Unemployment, Vacancies And Labour Market Programmes: Swedish Evidence," Papers 1990j, Uppsala - Working Paper Series.
  9. Olle Westerlund, 1998. "Internal Migration in Sweden: The Effects of Mobility Grants and Regional Labour Market Conditions," LABOUR, CEIS, vol. 12(2), pages 363-388, 07.
  10. Heckman, James J & Ichimura, Hidehiko & Todd, Petra, 1998. "Matching as an Econometric Evaluation Estimator," Review of Economic Studies, Wiley Blackwell, vol. 65(2), pages 261-94, April.
  11. Guido W. Imbens, 1999. "The Role of the Propensity Score in Estimating Dose-Response Functions," NBER Technical Working Papers 0237, National Bureau of Economic Research, Inc.
  12. Larsson, L., 2000. "Evaluation of Swedish Youth Labour Market Programmes," Papers 2000:6, Uppsala - Working Paper Series.
  13. Widerstedt, Barbro, 1998. "Moving or Staying? Job Mobility as a Sorting Process," UmeÃ¥ Economic Studies 464, Umeå University, Department of Economics.
  14. Rajeev H. Dehejia & Sadek Wahba, 1998. "Causal Effects in Non-Experimental Studies: Re-Evaluating the Evaluation of Training Programs," NBER Working Papers 6586, National Bureau of Economic Research, Inc.
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Citations

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Cited by:
  1. Anders Forslund & Alan Krueger, 2010. "Did Active Labor Market Policies Help Sweden Rebound from the Depression of the Early 1990s?," NBER Chapters, in: Reforming the Welfare State: Recovery and Beyond in Sweden, pages 159-187 National Bureau of Economic Research, Inc.
  2. Skedinger, Per & Lundin, Martin, 2000. "Decentralisation of Active Labour Market Policy: The Case of Swedish Local Employment Service Committees," Working Paper Series 537, Research Institute of Industrial Economics.
  3. Holmlund, Bertil, 2003. "The Rise and Fall of Swedish Unemployment," Working Paper Series 2003:13, Uppsala University, Department of Economics.
  4. Aronsson, Thomas & Blomquist, Sören, 2004. "Redistribution and Provision of Public Goods in an Economic Federation," Working Paper Series 2004:4, Uppsala University, Department of Economics.
  5. Jochen Kluve, 2006. "The Effectiveness of European Active Labor Market Policy," RWI Discussion Papers 0037, Rheinisch-Westfälisches Institut für Wirtschaftsforschung.
  6. Lars Calmfors, 2004. "Activation versus Other Employment Policies – Lessons for Germany," CESifo Forum, Ifo Institute for Economic Research at the University of Munich, vol. 5(2), pages 35-42, October.
  7. Kluve, Jochen, 2010. "The effectiveness of European active labor market programs," Labour Economics, Elsevier, vol. 17(6), pages 904-918, December.
  8. Håkanson, Christina & Johanson, Satu & Mellander, Erik, 2003. "Employer-sponsored training in stabilisation and growth policy perspectives," Working Paper Series 2003:8, IFAU - Institute for Evaluation of Labour Market and Education Policy.

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