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Experimental and Quasi-Experimental Methods of Microeconomic Program and Policy Evaluation

  • Jeff Borland

    ()

    (Department of Economics, The University of Melbourne)

  • Yi-Ping Tseng

    ()

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Roger Wilkins

    ()

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

In this paper we review new empirical methods for evaluating microeconomic policies. Experimental and quasi-experimental evaluation measure the causal impact of a policy by comparing outcomes in the presence of the policy 'treatment' with outcomes in the absence of this treatment. For example, evaluation of a government program involves comparing outcomes associated with participation and non-participation in the program. We describe the motivation for the use of experimental and quasi-experimental methods, the types of policy effects that they can identify, and how they are implemented. Application of experimental and quasi-experimental methods is illustrated through a brief review of a variety of recent Australian studies that have evaluated microeconomic policies such as labour market programs, welfare payments policies, education policies, health policies and minimum wage laws.

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Paper provided by Melbourne Institute of Applied Economic and Social Research, The University of Melbourne in its series Melbourne Institute Working Paper Series with number wp2005n08.

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Length: 41 pages
Date of creation: Jun 2005
Date of revision:
Handle: RePEc:iae:iaewps:wp2005n08
Contact details of provider: Postal: Melbourne Institute of Applied Economic and Social Research, The University of Melbourne, Victoria 3010 Australia
Phone: +61 3 8344 2100
Fax: +61 3 8344 2111
Web page: http://www.melbourneinstitute.com/
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