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Evaluation of Swedish Youth Labour Market Programmes

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  • Larsson, Laura

    ()
    (Department of Economics)

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    Abstract

    This paper evaluates two Swedish active labour market programmes for youth, namely youth practice and labour market training. A non-parametric matching approach is applied to estimate the average program effects. Moreover, the results obtained by matching are compared to results from standard linear regression and probit models, and a polychotomous selectivity model. The results indicate either zero or negative effects of both programmes on earnings, re-employment probability and probability of studies in the short run, whereas some of the long-run effects are estimated positive. However, there is much heterogeneity in the estimated treatment effects among the individuals.

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    Bibliographic Info

    Paper provided by Uppsala University, Department of Economics in its series Working Paper Series with number 2000:6.

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    Length: 72 pages
    Date of creation: 11 Apr 2000
    Date of revision:
    Publication status: Published in Journal of Human Resources, 2003, pages 891-927.
    Handle: RePEc:hhs:uunewp:2000_006

    Contact details of provider:
    Postal: Department of Economics, Uppsala University, P. O. Box 513, SE-751 20 Uppsala, Sweden
    Phone: + 46 18 471 25 00
    Fax: + 46 18 471 14 78
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    Web page: http://www.nek.uu.se/
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    Related research

    Keywords: Active labour market policies; balancing score; evaluation; matching; propensity score; selection; treatment effects;

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    References

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    1. Per-Anders Edin & Anders Forslund & Bertil Holmlund, 2000. "The Swedish Youth Labor Market in Boom and Depression," NBER Chapters, in: Youth Employment and Joblessness in Advanced Countries, pages 357-380 National Bureau of Economic Research, Inc.
    2. 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.
    3. Edin, P-A. & Holmlund, B., 1990. "Unemployment, Vacancies And Labour Market Programmes: Swedish Evidence," Papers 1990j, Uppsala - Working Paper Series.
    4. Joshua D. Angrist, 1998. "Estimating the Labor Market Impact of Voluntary Military Service Using Social Security Data on Military Applicants," Econometrica, Econometric Society, vol. 66(2), pages 249-288, March.
    5. Lechner, Michael, 1999. "Earnings and Employment Effects of Continuous Off-the-Job Training in East Germany after Unification," Journal of Business & Economic Statistics, American Statistical Association, vol. 17(1), pages 74-90, January.
    6. John P. Martin, 1998. "What Works Among Active Labour Market Policies: Evidence From OECD Countries' Experiences," OECD Labour Market and Social Policy Occasional Papers 35, OECD Publishing.
    7. 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.
    8. Schmertmann, Carl P., 1994. "Selectivity bias correction methods in polychotomous sample selection models," Journal of Econometrics, Elsevier, vol. 60(1-2), pages 101-132.
    9. James J. Heckman & Jeffrey A. Smith, 1995. "Assessing the Case for Social Experiments," Journal of Economic Perspectives, American Economic Association, vol. 9(2), pages 85-110, Spring.
    10. Heckman, James J, 1979. "Sample Selection Bias as a Specification Error," Econometrica, Econometric Society, vol. 47(1), pages 153-61, January.
    11. Heckman, James J. & Robb, Richard Jr., 1985. "Alternative methods for evaluating the impact of interventions : An overview," Journal of Econometrics, Elsevier, vol. 30(1-2), pages 239-267.
    12. Dubin, Jeffrey A & McFadden, Daniel L, 1984. "An Econometric Analysis of Residential Electric Appliance Holdings and Consumption," Econometrica, Econometric Society, vol. 52(2), pages 345-62, March.
    13. Lee, Lung-Fei, 1983. "Generalized Econometric Models with Selectivity," Econometrica, Econometric Society, vol. 51(2), pages 507-12, March.
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    Citations

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    Cited by:
    1. Raaum, Oddbjørn & Torp, Hege & Zhang, Tao, 2003. "Do individual programme effects exceed the costs? Norwegian evidence on long run effects of labour market training," Memorandum 15/2002, Oslo University, Department of Economics.
    2. Rabe, Birgitta, 2000. "Wirkungen aktiver Arbeitsmarktpolitik: Evaluierungsergebnisse für Deutschland, Schweden, Dänemark und die Niederlande," Discussion Papers, Research Unit: Labor Market Policy and Employment FS I 00-208, Social Science Research Center Berlin (WZB).
    3. Raaum, Oddbjørn & Torp, Hege & Zhang, Tao, 2003. "Business cycles and the impact of labour market programmes," Memorandum 14/2002, Oslo University, Department of Economics.
    4. Sianesi, Barbara, 2002. "Differential effects of Swedish active labour market programmes for unemployed adults during the 1990s," Working Paper Series 2002:5, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    5. Andrén, Thomas & Gustafsson, Björn Anders, 2002. "Income Effects from Labor Market Training Programs in Sweden During the 80’s and 90’s," IZA Discussion Papers 603, Institute for the Study of Labor (IZA).
    6. Michael White and Genevieve Knight, 2003. "Benchmarking the effectiveness of NDYP: A review of European and US literature on the microeconomic effects of labour market programmes for young people," PSI Research Discussion Series 10, Policy Studies Institute, UK.
    7. Michael Lechner, 2005. "Some practical issues in the evaluation of heterogeneous labour market programmes by matching methods," Labor and Demography 0505006, EconWPA.
    8. Fredriksson, Peter & Johansson, Per, 2003. "Employment, Mobility, and Active Labor Market Programs," Working Paper Series 2003:5, Uppsala University, Department of Economics.
    9. Peter Fredriksson & Per Johansson, 2003. "Program Evaluation and Random Program Starts," CESifo Working Paper Series 844, CESifo Group Munich.
    10. Stenberg, Anders & Westerlund, Olle, 2008. "Does comprehensive education work for the long-term unemployed," Labour Economics, Elsevier, vol. 15(1), pages 54-67, February.
    11. Lindgren, Urban & Westerlund, Olle, 2003. "Labour market programmes and geographical mobility: migration and commuting among programme participants and openly unemployed," Working Paper Series 2003:6, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    12. Eva Reinowski, 2004. "Mikroökonometrische Evaluation und das Selektionsproblem – Ein anwendungsorientierter Überblick über nichtparametrische Lösungsverfahren –," IWH Discussion Papers 200, Halle Institute for Economic Research.
    13. Jochen Kluve & Christoph M. Schmidt, 2002. "Can training and employment subsidies combat European unemployment?," Economic Policy, CEPR & CES & MSH, vol. 17(35), pages 409-448, October.
    14. Richard Disney & Eleonora Fischera & Trudy Owens, . "Has the Introduction of Microfinance Crowded-out Informal Loans in Malawi?," Discussion Papers 10/08, University of Nottingham, CREDIT.
    15. Konle-Seidl, Regina, 2005. "Lessons learned: Internationale Evaluierungsergebnisse zu Wirkungen aktiver und aktivierender Arbeitsmarktpolitik," IAB-Forschungsbericht 200509, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    16. Barbara Sianesi, 2002. "Swedish active labour market programmes in the 1990s: overall effectiveness and differential performance," IFS Working Papers W02/03, Institute for Fiscal Studies.

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