The Effect of a Longer Eligibility to a Labour Market Programme for Dismissed Workers
Liste di Mobilità is an Italian programme targeted to dismissed workers. It combines a 'passive' and an 'active' component. Eligibility duration varies with the worker's age at dismissal. Using a new panel data set, we identify the impact of extending the duration of eligibility on re-employment probabilities and wages, via Regression Discontinuity Design. We validate the design by a set of overidentification tests. For most subgroups we find no significant impact, with a peculiar pattern for women entitled to monetary benefits. A major negative impact emerges for workers aged 50 or more granted monetary benefits, likely due to the fact that they can use the programme as a bridge to retirement. Copyright 2009 CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd.
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Volume (Year): 23 (2009)
Issue (Month): 1 (03)
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