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Indirect Effects of Active Labour Market Policies

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  • David C Maré

    (Motu Economic & Public Policy Research)

Abstract

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.

Suggested Citation

  • David C Maré, 2005. "Indirect Effects of Active Labour Market Policies," HEW 0509004, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwphe:0509004
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    References listed on IDEAS

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    Cited by:

    1. Ivana Barkovic, 2009. "From Employment to Employability: the Role of Active Labor Market Policies in Croatia," Interdisciplinary Management Research, Josip Juraj Strossmayer University of Osijek, Faculty of Economics, Croatia, vol. 5, pages 399-413.
    2. Hohendanner Christian, 2011. "Ein-Euro-Jobs und reguläre Beschäftigung / One-Euro-Jobs and Regular Employment: Eine Analyse potenzieller Substitutionseffekte mit Daten des IAB-Betriebspanels / An Analysis of Potential Substitution," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 231(2), pages 210-246, April.
    3. de Raad, Jean-Pierre & Andrews, Grant, 2009. "The unemployment challenge : Labour market policies for the recession," NZIER Working Paper 2009/2, New Zealand Institute of Economic Research.

    More about this item

    Keywords

    Active labour market policies; Substitution; Displacement; General equilibrium effects.;

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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