The Impact of Wage Subsidies on Jobseekers’ Outcomes and Firm Employment

Sarah Chrichton and David C. Mare

No 291387, Motu Working Papers from Motu Economic and Public Policy Research

Abstract: The study examines the impact of wage subsidies on assisted jobseekers and on the firms that employ them, using propensity matching methods. Overall we find that starting a subsidised job leads to significant employment and earning benefits for assisted jobseekers over several years. Subsidised workers are disproportionately hired into expanding firms, though we cannot determine whether the expansion would have occurred in the absence of the subsidy.

Keywords: Labor; and; Human; Capital (search for similar items in EconPapers)
Pages: 88
Date: 2013-05
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Persistent link: https://EconPapers.repec.org/RePEc:ags:motuwp:291387

DOI: 10.22004/ag.econ.291387

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