The Impact of Wage Subsidies on Jobseekers' Outcomes and Firm Employment
AbstractThe study examines the impact of wage subsidies on assisted jobseekers and on the firms that employ them, using propensity matching methods. Overall we find that starting a subsidised job leads to significant employment and earning benefits for assisted jobseekers over several years. Subsidised workers are disproportionately hired into expanding firms, though we cannot determine whether the expansion would have occurred in the absence of the subsidy.
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Bibliographic InfoPaper provided by Motu Economic and Public Policy Research in its series Working Papers with number 13_05.
Length: 88 pages
Date of creation: May 2013
Date of revision:
wage subsidy; active labour market policies; propensity matching;
Find related papers by JEL classification:
- J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
- J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-06-09 (All new papers)
- NEP-HME-2013-06-09 (Heterodox Microeconomics)
- NEP-LAB-2013-06-09 (Labour Economics)
- NEP-LMA-2013-06-09 (Labor Markets - Supply, Demand, & Wages)
- NEP-LTV-2013-06-09 (Unemployment, Inequality & Poverty)
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