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Effective Active Labour Market Policies

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  • van Ours, Jan C.
  • Boone, Jan

Abstract

We present a theoretical and empirical analysis of different types of active labour market policies (ALMP). In our empirical analysis we use data on 20 OECD countries covering the time period 1985-99. We find that labour market training is the most effective program to bring down unemployment. Public employment services have some impact while subsidized jobs are not effective at all. Our theory considers ALMP in the context of a search-matching model.

Suggested Citation

  • van Ours, Jan C. & Boone, Jan, 2004. "Effective Active Labour Market Policies," CEPR Discussion Papers 4707, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:4707
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    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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