How do digital platforms affect employment and job search? Evidence from India

Erin M. Kelley, Christopher Ksoll and Jeremy Magruder

Journal of Development Economics, 2024, vol. 166, issue C

Abstract: We use a randomized control trial to evaluate whether digital platforms improve employment outcomes among vocational training graduates in India. We uploaded a random subset of graduates to a digital platform, and assigned some to receive many text messages about job opportunities. We find evidence of voluntary unemployment: graduates respond to platform access by increasing their reservation wages, and by working significantly less. As good job offers fail to materialize on the platform, some graduates adjust their expectations downwards and resume working. These findings suggest that youth’s beliefs about the effectiveness of matching interventions may reduce their potential impacts on employment.

Keywords: Job-search; Voluntary unemployment; Digital platforms (search for similar items in EconPapers)
Date: 2024
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:deveco:v:166:y:2024:i:c:s0304387823001323

DOI: 10.1016/j.jdeveco.2023.103176

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