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Activating the long-term inactive: Labor market and mental health effects

Mareen Bastiaans, Robert Dur and Anne C. Gielen

Labour Economics, 2024, vol. 90, issue C

Abstract: In many Western countries, a sizeable group of people live on welfare benefits for a long time. Many of them suffer from mental health issues. This paper studies the labor market and mental health effects of an activation program targeting these long-term inactive people. We exploit the staggered implementation of the program in a difference-in-differences design. We find that the activation program does not affect labor market outcomes of men and women. However, among men who were on mental health medication prior to the start of the program, we find a substantial drop in mental health drug prescriptions in the years following the start of the program.

Keywords: Activation program; Long-term inactive; Welfare beneficiaries; Mental health (search for similar items in EconPapers)
JEL-codes: H53 I19 I38 J68 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Working Paper: Activating the Long-Term Inactive: Labor Market and Mental Health Effects (2023) Downloads
Working Paper: Activating the Long-Term Inactive: Labor Market and Mental Health Effects (2023) Downloads
Working Paper: Activating the Long-Term Inactive: Labor Market and Mental Health Effects (2023) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:eee:labeco:v:90:y:2024:i:c:s0927537124000885

DOI: 10.1016/j.labeco.2024.102593

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