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The Effects of Active Labour Market Policies for Immigrants Receiving Social Assistance in Denmark

  • Heinesen, Eskil

    ()

    (Rockwool Foundation Research Unit)

  • Husted, Leif

    ()

    (KORA - Danish Institute for Local and Regional Government Research)

  • Rosholm, Michael

    ()

    (Aarhus University)

We estimate the effect of active labour market programmes on the exit rate to regular employment for non-western immigrants in Denmark who receive social assistance. We use the timing-of-events duration model and rich administrative data. We find large positive post-programme effects, and, surprisingly, even most in-programme effects are positive. The effects are largest for subsidized employment programmes, but effects are also large and significant for direct employment programmes and other programmes. The effects are larger if programmes begin after six months of unemployment. Implications of our estimates are illustrated by calculating effects on the duration to regular employment over a five-year period.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5632.

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Length: 32 pages
Date of creation: Apr 2011
Date of revision:
Publication status: published in: IZA Journal of Migration 2013, 2:15
Handle: RePEc:iza:izadps:dp5632
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  1. Clausen, Jens & Heinesen, Eskil & Hummelgaard, Hans & Husted, Leif & Rosholm, Michael, 2009. "The effect of integration policies on the time until regular employment of newly arrived immigrants: Evidence from Denmark," Labour Economics, Elsevier, vol. 16(4), pages 409-417, August.
  2. David E. Card & Jochen Kluve & Andrea Weber, 2009. "Active Labor Market Policy Evaluations: A Meta-analysis," NRN working papers 2009-02, The Austrian Center for Labor Economics and the Analysis of the Welfare State, Johannes Kepler University Linz, Austria.
  3. Ulf Rinne, 2013. "The evaluation of immigration policies," Chapters, in: International Handbook on the Economics of Migration, chapter 28, pages 530-552 Edward Elgar.
  4. Crépon, Bruno & Dejemeppe, Muriel & Gurgand, Marc, 2005. "Counseling the Unemployed: Does It Lower Unemployment Duration and Recurrence?," IZA Discussion Papers 1796, Institute for the Study of Labor (IZA).
  5. Bergemann, Annette & Caliendo, Marco & van den Berg, Gerard J. & Zimmermann, Klaus F., 2011. "The Threat Effect of Participation in Active Labor Market Programs on Job Search Behavior of Migrants in Germany," IZA Discussion Papers 5485, Institute for the Study of Labor (IZA).
  6. Cohen-Goldner, Sarit & Eckstein, Zvi, 2004. "Estimating the Return to Training and Occupational Experience: The Case of Female Immigrants," CEPR Discussion Papers 4603, C.E.P.R. Discussion Papers.
  7. Jaap H. Abbring & Gerard J. Berg & Jan C. Ours, 2005. "The Effect of Unemployment Insurance Sanctions on the Transition Rate from Unemployment to Employment," Economic Journal, Royal Economic Society, vol. 115(505), pages 602-630, 07.
  8. van den Berg, Gerard J & van der Klaauw, Bas & van Ours, Jan C, 2000. "Punitive Sanctions and the Transition Rate From Welfare to Work," CEPR Discussion Papers 2447, C.E.P.R. Discussion Papers.
  9. Aldashev, Alisher & Thomsen, Stephan L. & Walter, Thomas, 2010. "Short-term training programs for immigrants: do effects differ from natives and why?," ZEW Discussion Papers 10-021, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
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