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The Labor Market Effects of US Reemployment Policy: Lessons from an Analysis of Four Programs during the Great Recession

Author

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  • Marios Michaelides
  • Peter Mueser

Abstract

We present experimental evidence on four US reemployment programs targeting unemployment insurance (UI) recipients during the Great Recession. All programs reduced UI spells, produced UI savings that exceeded program costs, and increased employment rates. The services referral program had the smallest effects, occurring because of voluntary UI exits by participants to avoid requirements. The two programs reviewing participants’ UI eligibility produced greater effects because they induced voluntary exits and disqualified participants who did not meet UI requirements. The program requiring participation in both eligibility review and job-counseling services was the most effective, suggesting that services improved participants’ job search efforts.

Suggested Citation

  • Marios Michaelides & Peter Mueser, 2020. "The Labor Market Effects of US Reemployment Policy: Lessons from an Analysis of Four Programs during the Great Recession," Journal of Labor Economics, University of Chicago Press, vol. 38(4), pages 1099-1140.
    • Handle: RePEc:ucp:jlabec:doi:10.1086/706485
    DOI: 10.1086/706485
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    Cited by:

    1. Marios Michaelides & Peter R. Mueser & Jeffrey A. Smith, 2021. "Do Reemployment Programs For The Unemployed Work For Youth? Evidence From The Great Recession In The United States," Economic Inquiry, Western Economic Association International, vol. 59(1), pages 162-185, January.
    2. Michaelides, Marios & Mueser, Peter & Poe-Yamagata, Eileen & Davis, Scott, 2025. "Evaluation of the Wisconsin Reemployment Services and Eligibility Assessment (RESEA) Program," SocArXiv zp24c_v1, Center for Open Science.
    3. Gordon Hanson & Dani Rodrik & Rohan Sandhu, 2025. "The US Place-Based Policy Supply Chain," NBER Chapters, in: The Economics of Place-Based Policies, National Bureau of Economic Research, Inc.
    4. Fontenay, Sébastien & Tojerow, Ilan, 2025. "Is supported employment effective for Disability Insurance recipients with mental health conditions? Evidence from a randomized experiment in Belgium," Journal of Health Economics, Elsevier, vol. 100(C).
    5. Michaelides, Marios & Mueser, Peter & Poe-Yamagata, Eileen & Nearchou, Paris & Ciobanu, Iuliana, 2026. "Evaluation of the Iowa RCM/RESEA Program," SocArXiv z796a_v1, Center for Open Science.
    6. Marios Michaelides & Peter Mueser & Jeffrey Smith, 2019. "Youth Unemployment and U.S. Job Search Assistance Policy during the Great Recession," University of Cyprus Working Papers in Economics 13-2019, University of Cyprus Department of Economics.
    7. Sergio Cappellini, 2022. "Optimal Unemployment Insurance with Worker Profiling," "Marco Fanno" Working Papers 0294, Dipartimento di Scienze Economiche "Marco Fanno".
    8. Mueser, Peter & Michaelides, Marios & Poe-Yamagata, Eileen & Jeon, Kyung-Seong, 2025. "Experimental Evaluation of Missouri's Reemployment Services and Eligibility Assessment (RESEA) Program," SocArXiv spfa6_v1, Center for Open Science.

    More about this item

    JEL classification:

    • J6 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers
    • H4 - Public Economics - - Publicly Provided Goods

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