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Labor market policy evaluation with an agent-based model

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  • Neugart, Michael

Abstract

I develop an agent-based computational economics (ACE) model with which I evaluate the aggregate impact of labor market policies. The findings are that government-financed training measures increase the outflow rate from unemployment to employment. Although the overall effect is positive this effect is achieved by reducing the outflow rate for those who do not receive subsidies. Furthermore, the outflow rate would have been downward-biased had one supposed a matching function that is exogenous to policies.

Suggested Citation

  • Neugart, Michael, 2006. "Labor market policy evaluation with an agent-based model," MPRA Paper 4726, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:4726
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    References listed on IDEAS

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    1. Fredriksson, Peter & Holmlund, Bertil, 2001. "Optimal Unemployment Insurance in Search Equilibrium," Journal of Labor Economics, University of Chicago Press, vol. 19(2), pages 370-399, April.
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    Cited by:

    1. César Vladimir Martínez Arango & Coralia Azucena Quintero Rojas & Lari Arthur Viianto, 2015. "Discriminación de género en redes laborales," Ensayos Revista de Economia, Universidad Autonoma de Nuevo Leon, Facultad de Economia, vol. 0(2), pages 1-34, November.
    2. Moreno Baruffini, 2013. "An agent-based simulation of the Swiss labour market : an alternative for the labour market policy evaluation," ERSA conference papers ersa13p216, European Regional Science Association.

    More about this item

    Keywords

    Labor market policy evaluation; agent-based computational model; endogenous matching function; job displacement;

    JEL classification:

    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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