Labor market integration of refugees: RCT evidence from an early intervention program in Sweden

Matz Dahlberg, Johan Egebark, Ulrika Vikman and Gülay Özcan

Journal of Economic Behavior & Organization, 2024, vol. 217, issue C, 614-630

Abstract: This study uses a randomized controlled trial to evaluate a new program for increased labor market integration of refugees. The new program starts shortly after the residence permit is granted and uses three main components: early and intensive language training, work practice with supervisors, and job search assistance performed by professional caseworkers. The immediate and intensive assistance contrasts previous integration policies which typically constitute low-intensive help over long periods of time. We find large positive effects on employment of the program, with magnitudes corresponding to around 15 percentage points. A mediation analysis shows that 7–8 percent of the impact of the program seems to be explained by increases in documented language skills. Cost estimates suggest that the new policy is less expensive than earlier labor market programs.

Keywords: Refugee immigration; Integration; Randomized experiment; Labor market program (search for similar items in EconPapers)
JEL-codes: C93 J08 J15 J23 J61 (search for similar items in EconPapers)
Date: 2024
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Working Paper: Labor Market Integration of Refugees: RCT Evidence from an Early Intervention Program in Sweden (2023)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jeborg:v:217:y:2024:i:c:p:614-630

DOI: 10.1016/j.jebo.2023.11.026

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