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Training the Unemployed in France: How Does It Affect Unemployment Duration and Recurrence?

Bruno Crépon (), Marc Ferracci () and Denis Fougere ()
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Bruno Crépon: CREST-INSEE, CEPR and IZA
Marc Ferracci: Université Marne-la-Vallée and CREST-INSEE

No 3215, IZA Discussion Papers from Institute for the Study of Labor (IZA)

Abstract: Econometric evaluations of public-sponsored training programmes generally find little evidence of an impact of such policies on transition rates out of unemployment. We perform the first evaluation of training effects for the unemployed adults in France, exploiting a unique longitudinal dataset from the unemployment insurance system. Using the so-called timing-ofevents methodology to control for both observed and unobserved heterogeneity, we find that training does not accelerate the exit from unemployment, but has a significant and positive effect on the duration of the subsequent employment spell. Accounting for training duration, we find that longer training spells cause longer unemployment spells, but also longer employment spells, suggesting that training improves the matching process between jobseekers and firms.

Keywords: training programmes; unemployment duration; multiple spells; unobserved heterogeneity (search for similar items in EconPapers)
JEL-codes: J24 J41 J58 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-lab
Date: 2007-12
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