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dc.contributor.authorBrouillette, Danyen
dc.contributor.authorLacroix, Guyen
dc.date.accessioned2008-10-14-
dc.date.accessioned2010-07-07T11:29:17Z-
dc.date.available2010-07-07T11:29:17Z-
dc.date.issued2008-
dc.identifier.piurn:nbn:de:101:1-2008101534en
dc.identifier.urihttp://hdl.handle.net/10419/34784-
dc.description.abstractThe Self-Sufficiency Project (SSP) is a research and demonstration project that offered a generous time-limited income supplement to randomly selected welfare applicants under two conditions. The first, the eligibility condition, required that they remain on welfare for at least twelve months. The second, the qualification condition, required that they find a full-time job within twelve months after establishing eligibility. In this paper we focus on a neglected and important feature of the program, namely that the financial reward for becoming qualified is inversely related to the expected wage rate. Under very simple assumptions we show that those who have a low expected wage rate have a clear incentive to establish eligibility. Empirical non-parametric evidence strongly suggests that individuals self-select into eligibility. We jointly estimate a participation equation and a wage equation that are correlated through individual random effects. Our results show that the omission of self-selectivity into qualification translates into slightly overestimated treatment effects.en
dc.language.isoengen
dc.publisher|aInstitute for the Study of Labor (IZA) |cBonnen
dc.relation.ispartofseries|aIZA Discussion Papers |x3738en
dc.subject.jelI38en
dc.subject.ddc330en
dc.subject.keywordSSP Applicant Studyen
dc.subject.keywordheterogeneous treatmenten
dc.subject.keywordself-selectionen
dc.subject.stwLohnsubventionen
dc.subject.stwBerufliche Integrationen
dc.subject.stwWirkungsanalyseen
dc.subject.stwBildungsverhaltenen
dc.subject.stwWeiterbildungen
dc.subject.stwKanadaen
dc.titleHeterogeneous treatment and self-selection in a wage subsidy experiment-
dc.type|aWorking Paperen
dc.identifier.ppn581771850en
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen

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