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The Effects of Active Labour Market Policies for Immigrants Receiving Social Assistance in Denmark

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Author Info

  • Heinesen, Eskil

    ()
    (Rockwool Foundation Research Unit)

  • Husted, Leif

    ()
    (KORA - Danish Institute for Local and Regional Government Research)

  • Rosholm, Michael

    ()
    (Aarhus University)

Abstract

We estimate the effect of active labour market programmes on the exit rate to regular employment for non-western immigrants in Denmark who receive social assistance. We use the timing-of-events duration model and rich administrative data. We find large positive post-programme effects, and, surprisingly, even most in-programme effects are positive. The effects are largest for subsidized employment programmes, but effects are also large and significant for direct employment programmes and other programmes. The effects are larger if programmes begin after six months of unemployment. Implications of our estimates are illustrated by calculating effects on the duration to regular employment over a five-year period.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5632.

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Length: 32 pages
Date of creation: Apr 2011
Date of revision:
Handle: RePEc:iza:izadps:dp5632

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Keywords: programme evaluation; duration analysis; timing-of-events model;

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  1. 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.
  2. Berg, Gerard J. van den & Klaauw, Bas van der & Ours, Jan C. van, 1998. "Punitive sanctions and the transition rate from welfare to work," Serie Research Memoranda 0033, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
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Cited by:
  1. Walter, Thomas & Butschek, Sebastian, 2013. "What Active Labour Market Programmes Work for Immigrants in Europe?," Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79745, Verein für Socialpolitik / German Economic Association.
  2. Butschek, Sebastian & Walter, Thomas, 2013. "What active labour market programmes work for immigrants in Europe? A meta-analysis of the evaluation literature," ZEW Discussion Papers 13-056, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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