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Impact of Active Labor Market Programs on Employment: Albania’s Case


  • Eleni VANGJELI

    () (Finance–accounting departament Fan S. Noli University, Korce, Albania)

  • Sonela STILLO

    () (Management Department, Fan S. Noli University, Korce, Albania)

  • Marinela TENEQEXHI

    () (Management Department, Fan S. Noli University, Korce, Albania)


High variation of unemployment level in Albania for more than a decade shows that unemployment still remains a problem to solve. Given the conditions, the focus of employment policies is on increasing employment opportunities, in order to make unemployed people active in the labor market. This is the reason of applying many employment programs and making expenses for their funding. Most evaluation studies of active labor market policies (ALMPs) focus on micro-econometric evaluation. Only a few studies of ALMPs focus on macro-econometric evaluation. Also, most of the facts of evaluation belong to developing countries. During the last years, data on the analysis of the progress of these policies in transitional countries, Albania included, are made available. Our study focuses on the theoretical and empirical analysis of different types of active policies. Data used for the empirical analysis are those on employment policies in Albania during 1999 – 2010. Our study evaluates the impact of active labor-market programmers in Albania on the whole economy. The evaluation focuses on vocational training and on subsidized employment programmers in order to compare them. In analyzing the data, we drew the conclusion that a professional training program is a program with a positive impact on the level of employment (reducing unemployment), followed by a program of promoting employment through work education.

Suggested Citation

  • Eleni VANGJELI & Sonela STILLO & Marinela TENEQEXHI, 2012. "Impact of Active Labor Market Programs on Employment: Albania’s Case," Journal of Knowledge Management, Economics and Information Technology,, vol. 2(1), pages 1-16, February.
  • Handle: RePEc:spp:jkmeit:1264

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    References listed on IDEAS

    1. Hujer, Reinhard & Caliendo, Marco & Thomsen, Stephan L., 2004. "New evidence on the effects of job creation schemes in Germany--a matching approach with threefold heterogeneity," Research in Economics, Elsevier, vol. 58(4), pages 257-302, December.
    2. Reinhard Hujer & Stephan Thomsen & Christopher Zeiss, 2006. "The effects of vocational training programmes on the duration of unemployment in Eastern Germany," AStA Advances in Statistical Analysis, Springer;German Statistical Society, vol. 90(2), pages 299-321, June.
    3. Lars Calmfors & Anders Forslund & Maria Hemström, 2002. "Does Active Labour Market Policy Work? Lessons from the Swedish Experiences," CESifo Working Paper Series 675, CESifo Group Munich.
    4. Bocean, Claudiu George, 2007. "The Impact of Active Labour Market Policies in Romania," MPRA Paper 10397, University Library of Munich, Germany.
    5. Martin, John P. & Grubb, David, 2001. "What works and for whom: a review of OECD countries' experiences with active labour market policies," Working Paper Series 2001:14, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    6. Kluve, Jochen & Fertig, Michael & Jacobi, Lena & Nima, Leonhard & Schaffner, Sandra & Schmidt, Christoph M. & Card, David & Góra, Marek & Jensen, Peter & Leetmaa, Reelika & Patacchini, Eleonora & van , 2005. "Study on the effectiveness of ALMPs: Research project for the European Commission, DG Employment, Social Affairs and Equal Opportunities. Final report," RWI Projektberichte, RWI - Leibniz-Institut für Wirtschaftsforschung, number 69929.
    7. Jochen Kluve & Christoph M. Schmidt, 2002. "Can training and employment subsidies combat European unemployment?," Economic Policy, CEPR;CES;MSH, vol. 17(35), pages 409-448, October.
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