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http://hdl.handle.net/10419/45717
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| Title: | | The matching method for treatment evaluation with selective participation and ineligibles  |
| Authors: | | Costa Dias, Monica Ichimura, Hidehiko van den Berg, Gerard J. |
| Issue Date: | | 2008 |
| Series/Report no.: | | Working paper // IFAU - Institute for Labour Market Policy Evaluation 2008:6 |
| Abstract: | | The matching method for treatment evaluation does not balance selective unobserved differences between treated and non-treated. We derive a simple correction term if there is an instrument that shifts the treatment probability to zero in specific cases. Policies with eligibility restrictions, where treatment is impossible if some variable exceeds a certain value, provide a natural application. In an empirical analysis, we first examine the performance of matching versus regression-discontinuity estimation in the sharp age-discontinuity design of the NDYP job search assistance program for young unemployed in the UK. Next, we exploit the age eligibility restriction in the Swedish Youth Practice subsidized work program for young unemployed, where compliance is imperfect among the young. Adjusting the matching estimator for selectivity changes the results towards ineffectiveness of subsidized work in moving individuals into employment. |
| Subjects: | | propensity score policy evaluation treatment effect regression discontinuity selection job search assistance subsidized work youth unemployment |
| JEL: | | J64 C14 C25 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Working Papers, Institute for Labour Market Policy Evaluation (IFAU)
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