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Subsidizing Vocational Training for Disadvantaged Youth in Developing Countries: Evidence from a Randomized Trial

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  • Attanasio, Orazio

    (Yale University)

  • Kugler, Adriana

    (Georgetown University)

  • Meghir, Costas

    (Yale University)

Abstract

This paper evaluates the impact of a randomized training program for disadvantaged youth introduced in Colombia in 2005. This randomized trial offers a unique opportunity to examine the impact of training in developing countries. We use originally collected data on individuals randomly offered and not offered training. The program raises earnings and employment, especially for women. Women offered training earn 18% more and have a 0.05 higher probability of employment than those not offered training, mainly in formal sector jobs. Cost-benefit analysis of these results suggests that the program generates much larger net gains than those found in developed countries.

Suggested Citation

  • Attanasio, Orazio & Kugler, Adriana & Meghir, Costas, 2009. "Subsidizing Vocational Training for Disadvantaged Youth in Developing Countries: Evidence from a Randomized Trial," IZA Discussion Papers 4251, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp4251
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    Cited by:

    1. Alexandria Valerio & Brent Parton & Alicia Robb, 2014. "Entrepreneurship Education and Training Programs around the World : Dimensions for Success," World Bank Publications - Books, The World Bank Group, number 18031, December.
    2. Angel-Urdinola, Diego F. & Semlali, Amina & Brodmann, Stefanie, 2010. "Non-public provision of active labor market programs in Arab- Mediterranean countries : an inventory of youth programs," Social Protection Discussion Papers and Notes 55673, The World Bank.
    3. Marjorie Chinen & Thomas de Hoop & Lorena Alcázar & María Balarin & Josh Sennett, 2017. "Vocational and business training to improve women's labour market outcomes in low‐ and middle‐income countries: a systematic review," Campbell Systematic Reviews, John Wiley & Sons, vol. 13(1), pages 1-195.
    4. David Card & Pablo Ibarrarán & Ferdinando Regalia & David Rosas-Shady & Yuri Soares, 2011. "The Labor Market Impacts of Youth Training in the Dominican Republic," Journal of Labor Economics, University of Chicago Press, vol. 29(2), pages 267-300.
    5. Oecd, 2011. "The Impact of the 1999 Education Reform in Poland," OECD Education Working Papers 49, OECD Publishing.
    6. Marcos Agurto & Sandra Buzinsky & Fernando Fernandez & Javier Torres, 2020. "Empowering College Students through Community Engagement: Experimental Evidence from Peru," Working Papers 2020-07, Lima School of Economics.
    7. FLORES-LAGUNES Alfonso & CHOE Chung & LEE Sang-Jun, 2011. "Do Dropouts Benefit from Training Programs? Korean Evidence Employing Methods for Continuous Treatments," LISER Working Paper Series 2011-34, Luxembourg Institute of Socio-Economic Research (LISER).
    8. Janice Tripney & Mark Newman & Kimberly Hovish & Chris Brown, 2012. "PROTOCOL: Post‐basic Technical and Vocational Education and Training (TVET) Interventions to Improve Employability and Employment of TVET Graduates in Low‐ and Middle‐income Countries," Campbell Systematic Reviews, John Wiley & Sons, vol. 8(1), pages 1-53.
    9. Janice Tripney & Jorge Hombrados & Mark Newman & Kimberly Hovish & Chris Brown & Katarzyna Steinka‐Fry & Eric Wilkey, 2013. "Technical and Vocational Education and Training (TVET) Interventions to Improve the Employability and Employment of Young People in Low‐ and Middle‐Income Countries: A Systematic Review," Campbell Systematic Reviews, John Wiley & Sons, vol. 9(1), pages 1-171.
    10. Francavilla, Francesca & Giannelli, Gianna Claudia, 2011. "Does family planning help the employment of women? The case of India," Journal of Asian Economics, Elsevier, vol. 22(5), pages 412-426, October.
    11. Bertha Briceño & Laura Cuesta & Orazio Attanasio, 2011. "Behind the scenes: experience managing and conducting large impact evaluations in Colombia," Journal of Development Effectiveness, Taylor & Francis Journals, vol. 3(4), pages 470-501, December.
    12. Janice Tripney & Jorge Hombrados & Mark Newman & Kimberly Hovish & Chris Brown & Katarzyna Steinka‐Fry & Eric Wilkey, 2013. "Technical and Vocational Education and Training (TVET) Interventions to Improve the Employability and Employment of Young People in Low‐ and Middle‐Income Countries: A Systematic Review," Campbell Systematic Reviews, John Wiley & Sons, vol. 9(1), pages 1-171.
    13. Guerra, Nancy & Modecki, Kathryn & Cunningham, Wendy, 2014. "Developing social-emotional skills for the labor market : the PRACTICE model," Policy Research Working Paper Series 7123, The World Bank.

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    More about this item

    Keywords

    randomized trials; vocational training;

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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