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Endogenous Exit Bias in Training Programs for Unemployed Workers

  • Kluve, Jochen

    ()

    (Humboldt University Berlin, RWI)

  • Rinne, Ulf

    ()

    (IZA)

  • Uhlendorff, Arne

    ()

    (CREST)

  • Zhao, Zhong

    ()

    (Renmin University of China)

This paper assesses the importance of reverse causality when evaluating the impact of training duration for unemployed workers. We use planned duration as an instrumental variable for actual duration. Our results suggest that the potential endogeneity of exits seems to be only relevant in the lower and upper part of the treatment duration distribution.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 6565.

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Length: 11 pages
Date of creation: May 2012
Date of revision:
Handle: RePEc:iza:izadps:dp6565
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  1. James Heckman & Neil Hohmann & Jeffrey Smith & Michael Khoo, 2000. "Substitution And Dropout Bias In Social Experiments: A Study Of An Influential Social Experiment," The Quarterly Journal of Economics, MIT Press, vol. 115(2), pages 651-694, May.
  2. van Ours, Jan C., 2004. "The locking-in effect of subsidized jobs," Journal of Comparative Economics, Elsevier, vol. 32(1), pages 37-55, March.
  3. James Heckman & Jeffrey Smith & Christopher Taber, 1998. "Accounting For Dropouts In Evaluations Of Social Programs," The Review of Economics and Statistics, MIT Press, vol. 80(1), pages 1-14, February.
  4. Carlos A. Flores & Alfonso Flores-Lagunes & Arturo Gonzalez & Todd C. Neumann, 2012. "Estimating the Effects of Length of Exposure to Instruction in a Training Program: The Case of Job Corps," The Review of Economics and Statistics, MIT Press, vol. 94(1), pages 153-171, February.
  5. Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier.
  6. Jochen Kluve & Hilmar Schneider & Arne Uhlendorff & Zhong Zhao, 2012. "Evaluating continuous training programmes by using the generalized propensity score," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 175(2), pages 587-617, 04.
  7. van Ours, J.C., 2004. "The locking-in effect of subsidized jobs," Other publications TiSEM c4fd99a1-4c2f-46c6-9ee2-3, Tilburg University, School of Economics and Management.
  8. Imbens, Guido W & Angrist, Joshua D, 1994. "Identification and Estimation of Local Average Treatment Effects," Econometrica, Econometric Society, vol. 62(2), pages 467-75, March.
  9. Fitzenberger, Bernd & Osikominu, Aderonke & Paul, Marie, 2010. "The Heterogeneous Effects of Training Incidence and Duration on Labor Market Transitions," IZA Discussion Papers 5269, Institute for the Study of Labor (IZA).
  10. repec:ner:tilbur:urn:nbn:nl:ui:12-140882 is not listed on IDEAS
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