New Evidence on the Effects of Job Creation Schemes in Germany - A Matching Approach with Threefold Heterogeneity

Reinhard Hujer (), Marco Caliendo and Stephan Thomsen
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Reinhard Hujer: Goethe University Frankfurt

No 750, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper evaluates the effects of job creation schemes on the participating individuals in Germany. Since previous empirical studies of these measures have been based on relatively small datasets and focussed on East Germany, this is the first study which allows to draw policy-relevant conclusions. The very informative and exhaustive dataset at hand not only justifies the application of a matching estimator but also allows to take account of threefold heterogeneity. The recently developed multiple treatment framework is used to evaluate the effects with respect to regional, individual and programme heterogeneity. The results show considerable differences with respect to these sources of heterogeneity, but the overall finding is very clear. At the end of our observation period, that is two years after the start of the programmes, participants in job creation schemes have a significantly lower success probability on the labour market in comparison to matched non-participants.

Keywords: job creation schemes; multiple treatment; heterogeneity; matching; evaluation (search for similar items in EconPapers)
JEL-codes: C13 C40 H43 J64 J68 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2003-04
New Economics Papers: this item is included in nep-eec and nep-lab
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Citations: View citations in EconPapers (20)

Published - published in: Research in Economics , 2004, 58(4), 257-302

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Journal Article: New evidence on the effects of job creation schemes in Germany--a matching approach with threefold heterogeneity (2004)
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