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Micro-econometric evaluation of subsidized employment in morocco: the case of the "Idmaj" program

Abdellatif Chatri (), Khadija Hadef () and Naima Samoudi ()
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Abdellatif Chatri: Med V University
Khadija Hadef: Med V University
Naima Samoudi: Med V University

Journal for Labour Market Research, 2021, vol. 55, issue 1, 1-13

Abstract: Abstract This paper aims to assess the impact of the Moroccan wage subsidy program "Idmaj". It applies the propensity score matching method to the data from a survey conducted by the Ministry of Labour on a sample of eligible individuals. Our results suggest that wage subsidies in Morocco have a positive but marginally significant effect on reducing unemployment and improving employment and a significant negative impact on wages. It also highlights some heterogeneous effects of the program, particularly on women. Finally, it appears that the program did not serve as a stepping stone to higher-paying, high-quality work and, in contrast, it had a stigmatizing effect on beneficiaries.

Keywords: Propensity score matching; Impact evaluation; Active labour market policy; Wage subsidies (search for similar items in EconPapers)
JEL-codes: C14 C31 H43 J38 J68 (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1186/s12651-021-00300-5

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