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Assisting the Long-Term Unemployed: Results from a Randomized Trial

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Author Info
Breunig, Robert () (RSSS, Australian National University)
Cobb-Clark, Deborah A. (SPEAR, Australian National University and IZA Bonn)
Dunlop, Yvonne (Victoria University of Technology)
Terrill, Marion (Department of Family and Community Services)

Additional information is available for the following registered author(s):

Abstract

Welfare reform in Australia centres on the concept of both economic and social participation. The policy concern is that people who fail to participate in economic and social life may become entrenched in disadvantage. In 2000 - 2001, a randomized trial was conducted by the Department of Family and Community Services in order to assess whether an intensive interview with successive follow-ups would result in increased economic and social participation for unemployed individuals who had been on income support for more than five years. We find evidence that participation in the trial led to a reduction in average weekly hours of work, but increased the amount of hours spent in study or training programs and the proportion of individuals engaged in such programs. We also find evidence of increased social integration associated with participation in the trial.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 628.

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Length: 34 pages
Date of creation: Nov 2002
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Handle: RePEc:iza:izadps:dp628

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Related research
Keywords: active labor market programs; counseling and monitoring; long-term unemployment; propensity score matching; welfare reform;

Other versions of this item:

Find related papers by JEL classification:
H3 - Public Economics - - Fiscal Policies and Behavior of Economic Agents
I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
J68 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Public Policy

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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. A. M. Dockery & Elizabeth Webster, 2001. "Long-term Unemployment and Work Deprived Individuals: Issues and Policies," CEPR Discussion Papers 445, Centre for Economic Policy Research, Research School of Social Sciences, Australian National University. [Downloadable!]
    Other versions:
  2. Dolton, Peter & O'Neill, Donal, 1995. "The Impact of Restart on Reservation Wages and Long-Term Unemployment," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 57(4), pages 451-70, November.
  3. van den Bergh, Gerhard & van deer Klaauw, Bas, 2001. "Counseling and monitoring of unemployed workers: theory and evidence from a controlled social experiment," Working Paper Series 2001:12, IFAU - Institute for Labour Market Policy Evaluation. [Downloadable!]
    Other versions:
  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. Jeffrey Smith & Petra Todd, 2003. "Does Matching Overcome Lalonde's Critique of Nonexperimental Estimators?," University of Western Ontario, CIBC Human Capital and Productivity Project Working Papers 20035, University of Western Ontario, CIBC Human Capital and Productivity Project. [Downloadable!]
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  6. Paul W. Miller, 1997. "The Burden of Unemployment on Family Units: An Overview," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 30(1), pages 16-30. [Downloadable!] (restricted)
  7. Gerard van den Berg & Bas van der Klaauw, 2000. "Counseling and Monitoring of Unemployed Workers: Theory and Evidence from a Social Experiment," Econometric Society World Congress 2000 Contributed Papers 0972, Econometric Society. [Downloadable!]
  8. Richard Blundell & Monica Costa Dias, 2000. "Evaluation methods for non-experimental data," Fiscal Studies, Institute for Fiscal Studies, vol. 21(4), pages 427-468, January. [Downloadable!]
  9. Orley Ashenfelter & David Ashmore & Olivier Deschenes, 1999. "Do Unemployment Insurance Recipients Actively Seek Work? Randomized Trials in Four U.S. States," NBER Working Papers 6982, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  10. 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)
  11. James Heckman & Neil Hohmann & Jeffrey Smith & Michael Khoo, 2000. "Substitution And Dropout Bias In Social Experiments: A Study Of An Influential Social Experiment," The Quarterly Journal of Economics, MIT Press, vol. 115(2), pages 651-694, May. [Downloadable!] (restricted)
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  12. Augurzky, Boris & Schmidt, Christoph M., 2001. "The Propensity Score: A Means to An End," IZA Discussion Papers 271, Institute for the Study of Labor (IZA). [Downloadable!]
  13. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier. [Downloadable!] (restricted)
Full references

Cited by:
(explanations, 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. Cobb-Clark, Deborah & Ryan, Chris & Breunig, Robert, 2003. "A Couples-Based Approach to the Problem of Workless Families," IZA Discussion Papers 864, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Jeff Borland & Yi-Ping Tseng & Roger Wilkins, 2005. "Experimental and Quasi-Experimental Methods of Microeconomic Program and Policy Evaluation," Melbourne Institute Working Paper Series wp2005n08, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
  3. Jeff Borland & Yi-Ping Tseng, 2003. "How Do Administrative Arrangements Affect Exit from Unemployment Payments? The Case of the Job Seeker Diary in Australia," Melbourne Institute Working Paper Series wp2003n27, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
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This page was last updated on 2009-11-23.

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