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The New Enterprise incentive Scheme: an evaluation and a test of the job network

Author

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  • A.M. Dockery

    (Curtin University of Technology)

Abstract

The New Enterprise Incentive Scheme (NEIS) provides support for unemployed persons in Australia to start their own business. It is one of the few employment services to be retained in comparable form following the 1998 implementation of the competitive employment services market known as the Job Network. Pre- and post- Job Network data are used to evaluate both the scheme and the transition to a competitive market for employment services. NEIS achieves high outcomes in terms of the proportion of participants that secure employment and cease claiming benefits. However deadweight loss would mean that the net impact of participation would be considerably lower. Gross outcomes, the profile of those entering the scheme and relative success rates between target groups have remained similar under the Job Network. There is little evidence of negative equity effects that have been feared from the transition to a competitive system of delivery.

Suggested Citation

  • A.M. Dockery, 2002. "The New Enterprise incentive Scheme: an evaluation and a test of the job network," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 5(3), pages 351-371, September.
    • Handle: RePEc:ozl:journl:v:5:y:2002:i:3:p:351-371
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    More about this item

    Keywords

    Mobility; Unemployment and Vacancies: public policy (includes employment services); Entrepreneurship (new firms; startups);
    All these keywords.

    JEL classification:

    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups

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