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Are Training Programs More Effective When Unemployment Is High?

Journal of Labor Economics 2009 27(4), 653-692 open access
We estimate short‐run, medium‐run, and long‐run individual labor market effects of training programs for the unemployed by following program participation on a monthly basis over a 10‐year period. Since analyzing the effectiveness of training over such a long period is impossible with experimental data, we use an administrative database compiled for evaluating German training programs. Based on matching estimation adapted to address the various issues that arise in this particular context, we find a clear positive relation between the effectiveness of the programs and the unemployment rate over time.

Why Do Tougher Caseworkers Increase Employment? The Role of Program Assignment as a Causal Mechanism

The Review of Economics and Statistics 2017 99(1), 180-183 open access
Previous research found that less accommodating caseworkers are more successful in placing unemployed workers into employment. This paper explores the causal mechanisms behind this result using semi-parametric mediation analysis. Analyzing rich linked job seeker-caseworker data for Switzerland, we find that the positive employment effects of less accommodating caseworkers are not driven by a particularly effective mix of labor market programs but, rather, by other dimensions of the counseling process, possibly including threats of sanctions and pressure to accept jobs.