The Award of a Training Voucher and Labor Market Outcomes
This paper estimates the labor market effects of being awarded with a training voucher using an instrumental variable approach. In Germany all public sponsored further training programs are allocated through vouchers and the system, we study here, thus represents a major case of the use of vouchers in the context of active labor market policies. We use process generated data in which we observe all training vouchers awarded in 2003 and 2004 as well as realized training participation. Results suggest that on average voucher recipients suffer from strong lock-in effects and only experience at best small positive employment effects and no earning gains four years after the award of the voucher. Subgroups of treated individuals, like individuals not holding a vocational degree and those participating in a degree program, benefit more.
|Date of creation:||2013|
|Date of revision:|
|Contact details of provider:|| Web page: http://www.socialpolitik.org/|
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- Sarah Bernhard & Thomas Kruppe, 2012.
"Effectiveness of Further Vocational Training in Germany – Empirical Findings for Persons Receiving Means-tested Unemployment Benefits,"
Schmollers Jahrbuch : Journal of Applied Social Science Studies / Zeitschrift für Wirtschafts- und Sozialwissenschaften,
Duncker & Humblot, Berlin, vol. 132(4), pages 501-526.
- Bernhard, Sarah & Kruppe, Thomas, 2012. "Effectiveness of further vocational training in Germany : empirical findings for persons receiving means-tested unemployment benefit," IAB Discussion Paper 201210, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
- Rinne, Ulf & Schneider, Marc & Uhlendorff, Arne, 2007.
"Too Bad to Benefit? Effect Heterogeneity of Public Training Programs,"
IZA Discussion Papers
3240, Institute for the Study of Labor (IZA).
- Ulf Rinne & Marc Schneider & Arne Uhlendorff, 2011. "Do the skilled and prime-aged unemployed benefit more from training? Effect heterogeneity of public training programmes in Germany," Applied Economics, Taylor & Francis Journals, vol. 43(25), pages 3465-3494.
- Ulf Rinne & Marc Schneider & Arne Uhlendorff, 2007. "Too Bad to Benefit?: Effect Heterogeneity of Public Training Programs," Discussion Papers of DIW Berlin 749, DIW Berlin, German Institute for Economic Research.
- Gesine Stephan & André Pahnke, 2011. "The Relative Effectiveness Of Selected Active Labor Market Programs: An Empirical Investigation For Germany," Manchester School, University of Manchester, vol. 79(6), pages 1262-1293, December.
- Rinne, Ulf & Uhlendorff, Arne & Zhao, Zhong, 2008. "Vouchers and Caseworkers in Public Training Programs: Evidence from the Hartz Reform in Germany," IZA Discussion Papers 3910, Institute for the Study of Labor (IZA).
- Fredriksson, Peter & Johansson, Per, 2008. "Dynamic Treatment Assignment," Journal of Business & Economic Statistics, American Statistical Association, vol. 26, pages 435-445.
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