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Indirect Effects of Active Labour Market Policies

  • David C. Maré


    (Motu Economic and Public Policy Research)

This paper provides an overview of the analysis of the indirect effects of active labour market policies. Indirect effects arise where some of the improved labour market outcomes for programme participants come at the expense of other workers or jobseekers. The paper outlines some common theories about how indirect effects operate, and discusses approaches to estimating the strength of indirect effects. It also presents a brief summary of relevant empirical findings. The paper is intended as a relatively non-technical guide for policy analysts working on the design, costing, and evaluation of active labour market policies.

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Paper provided by Motu Economic and Public Policy Research in its series Working Papers with number 05_01.

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Length: 38 pages
Date of creation: Jan 2005
Date of revision:
Handle: RePEc:mtu:wpaper:05_01
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