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Title:Long-Run Effects of Public Sector Sponsored Training in West Germany PDF Logo
Authors:Lechner, Michael
Miquel, Ruth
Wunsch, Conny
Issue Date:2004
Series/Report no.:IZA Discussion paper series 1443
Abstract:Between 1991 and 1997 West Germany spent on average about 3.6 bn Euro per year on public sector sponsored training programmes for the unemployed. We base our empirical analysis on a new administrative data base that plausibly allows for selectivity correction by microeconometric matching methods. We identify the effects of different types of training programmes over a horizon of more than seven years. Using bias corrected weighted multiple neighbours matching we find that all programmes have negative effects in the short run and positive effects over a horizon of about four years. However, for substantive training programmes with duration of about two years gains in employment probabilities of more than 10% points appear to be sustainable, but come at the price of large negative lock-in effects.
Subjects:active labour market policy
matching estimation
programme evaluation
panel data
JEL:J68
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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