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An evaluation of the Swedish trainee replacement schemes

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Abstract

This paper estimates the employment effects of the Swedish trainee replacement schemes (an active labour market program that was in operation during the 1990s). The empirical analysis exploits a large and rich administrative data set, and we control for observed and unobserved selection bias by using a multiple equation model and the maximum likelihood estimation method. The estimation results point at a selection of participants having a high ex ante probability of employment. In addition, the results suggest that participation in replacement schemes increased the re-employment probability by 5 to 10 percentage points.

Suggested Citation

  • Sacklén, Hans, 2002. "An evaluation of the Swedish trainee replacement schemes," Working Paper Series 2002:7, IFAU - Institute for Evaluation of Labour Market and Education Policy.
  • Handle: RePEc:hhs:ifauwp:2002_007
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    1. Jonas Agell & Per Lundborg, 2003. "Survey Evidence on Wage Rigidity and Unemployment: Sweden in the 1990s," Scandinavian Journal of Economics, Wiley Blackwell, vol. 105(1), pages 15-30, March.
    2. Carling, Kenneth & Holmlund, Bertil & Vejsiu, Altin, 2001. "Do Benefit Cuts Boost Job Finding? Swedish Evidence from the 1990s," Economic Journal, Royal Economic Society, vol. 111(474), pages 766-790, October.
    3. Dahlberg, Matz & Forslund, Anders, 1999. "Direct Displacement Effects of Labour Market Programmes: The Case of Sweden," Working Paper Series 1999:22, Uppsala University, Department of Economics.
    4. Carling, Kenneth & Edin, Per-Anders & Harkman, Anders & Holmlund, Bertil, 1996. "Unemployment duration, unemployment benefits, and labor market programs in Sweden," Journal of Public Economics, Elsevier, vol. 59(3), pages 313-334, March.
    5. Edin, P-A. & Holmlund, B., 1990. "Unemployment, Vacancies And Labour Market Programmes: Swedish Evidence," Papers 1990j, Uppsala - Working Paper Series.
    6. Kathryn H. Anderson & Richard V. Burkhauser & Jennie E. Raymond, 1993. "The Effect of Creaming on Placement Rates under the Job Training Partnership Act," ILR Review, Cornell University, ILR School, vol. 46(4), pages 613-624, July.
    7. Agell, Jonas & Lundborg, Per, 1999. "Survey Evidence on Wage Rigidity: Sweden in the 1990s," Working Paper Series 154, Trade Union Institute for Economic Research.
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    Cited by:

    1. Jan Boone & Peter Fredriksson & Bertil Holmlund & Jan C. van Ours, 2007. "Optimal Unemployment Insurance with Monitoring and Sanctions," Economic Journal, Royal Economic Society, vol. 117(518), pages 399-421, March.
    2. Kluve, Jochen, 2006. "The Effectiveness of European Active Labor Market Policy," IZA Discussion Papers 2018, Institute of Labor Economics (IZA).
    3. Andrén, Thomas & Gustafsson, Björn Anders, 2002. "Income Effects from Labor Market Training Programs in Sweden During the 80’s and 90’s," IZA Discussion Papers 603, Institute of Labor Economics (IZA).
    4. Öckert, Björn, 2002. "Do university enrollment constraints affect education and earnings?," Working Paper Series 2002:16, IFAU - Institute for Evaluation of Labour Market and Education Policy.

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    More about this item

    Keywords

    Traninee replacement schemes; labour market program;

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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