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Evaluating the Dynamic Employment Effects of Training Programs in East Germany Using Conditional Difference-in-Differences

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Author Info
Bergemann, Annette
Fitzenberger, Bernd
Speckesser, Stefan

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Abstract

This paper evaluates the effects of Public Sponsored Training in East Germany in the context of reiterated treatments. Selection bias based on observed characteristics is corrected for by applying kernel matching based on the propensity score. We control for further selection and the presence of Ashenfelter's Dip before the program with conditional difference-in-differences estimators. Training as a first treatment shows insignificant effects on the transition rates. The effect of program sequences and the incremental effect of a second program on the reemployment probability are insignificant. However, the incremental effect on the probability to remain employed is slightly positive.

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Publisher Info
Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 04-41.

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Date of creation: 2004
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Handle: RePEc:zbw:zewdip:2037

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Related research
Keywords: Evaluation of active labor market policy in East Germany nonparametric matching conditional difference-in-differences employment dynamics

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Find related papers by JEL classification:
C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Semiparametric and Nonparametric Methods
C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data
H43 - Public Economics - - Publicly Provided Goods - - - Project Evaluation; Social Discount Rate
J6 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies
J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search

References listed on IDEAS
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  1. James Heckman & Hidehiko Ichimura & Jeffrey Smith & Petra Todd, 1998. "Characterizing Selection Bias Using Experimental Data," Econometrica, Econometric Society, vol. 66(5), pages 1017-1098, September.
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  2. Thierry Magnac & Michael Visser, 1999. "Transition Models With Measurement Errors," The Review of Economics and Statistics, MIT Press, vol. 81(3), pages 466-474, August. [Downloadable!] (restricted)
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  3. Hidehiko Ichimura & Oliver Linton, 2001. "Asymptotic expansions for some semiparametric program evaluation estimators," CeMMAP working papers CWP04/01, Centre for Microdata Methods and Practice, Institute for Fiscal Studies. [Downloadable!]
    Other versions:
  4. James J. Heckman & Jeffrey A. Smith, 1999. "The Pre-Program Earnings Dip and the Determinants of Participation in a Social Program: Implications for Simple Program Evaluation Strategies," NBER Working Papers 6983, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Heckman, James J & Ichimura, Hidehiko & Todd, Petra, 1998. "Matching as an Econometric Evaluation Estimator," Review of Economic Studies, Blackwell Publishing, vol. 65(2), pages 261-94, April. [Downloadable!] (restricted)
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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. Michael Lechner & Conny Wunsch, 2006. "Active Labour Market Policy in East Germany: Waiting for the Economy to Take Off," University of St. Gallen Department of Economics working paper series 2006 2006-24, Department of Economics, University of St. Gallen. [Downloadable!]
    Other versions:
  2. Bernd Fitzenberger & Stefan Speckesser, 2005. "Employment Effects of the Provision of Specific Professional Skills and Techniques in Germany," IZA Discussion Papers 1868, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Michael Lechner & Ruth Miquel, 2005. "Identification of the Effects of Dynamic Treatments by Sequential Conditional Independence Assumptions," University of St. Gallen Department of Economics working paper series 2005 2005-17, Department of Economics, University of St. Gallen. [Downloadable!]
  4. Eva Reinowski, 2004. "Mikroökonometrische Evaluation und das Selektionsproblem – Ein anwendungsorientierter Überblick über nichtparametrische Lösungsverfahren –," IWH Discussion Papers 200, Halle Institute for Economic Research. [Downloadable!]
  5. Christoph Wunder & Johannes Schwarze & Gerhard Krug & Bodo Herzog, 2006. "Welfare Effects of the Euro Cash Changeover," Discussion Papers of DIW Berlin 646, DIW Berlin, German Institute for Economic Research. [Downloadable!]
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  6. Fitzenberger, Bernd & Speckesser, Stefan, 2005. "Employment effects of the provision of specific professional skills and techniques in Germany," IAB Discussion Paper 200521, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]. [Downloadable!]
  7. Jochen Kluve & Lena Jacobi, 2006. "Before and After the Hartz Reforms: The Performance of Active Labour Market Policy in Germany," RWI Discussion Papers 0041, Rheinisch-Westfälisches Institut für Wirtschaftsforschung. [Downloadable!]
  8. Albrecht, James & van den Berg, Gerard J & Vroman, Susan, 2004. "The knowledge lift: The Swedish adult education program that aimed to eliminate low worker skill levels," Working Paper Series 2004:17, IFAU - Institute for Labour Market Policy Evaluation. [Downloadable!]
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  9. Bernd Fitzenberger & Stefan Speckesser, 2007. "Employment effects of the provision of specific professional skills and techniques in Germany," Empirical Economics, Springer, vol. 32(2), pages 529-573, May. [Downloadable!] (restricted)
  10. Jose Galdo & Jeffrey Smith & Dan Black, 2007. "Bandwidth Selection and the Estimation of Treatment Effects with Unbalanced Data," IZA Discussion Papers 3095, Institute for the Study of Labor (IZA). [Downloadable!]
  11. Conny Wunsch, 2005. "Labour Market Policy in Germany: Institutions, Instruments and Reforms since Unification," University of St. Gallen Department of Economics working paper series 2005 2005-06, Department of Economics, University of St. Gallen. [Downloadable!]
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