Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/155547
Authors: 
Caroline, Kotakorpi, Kaisa Hall
Liljeberg, Linus
Pirttilä, Jukka
Year of Publication: 
2017
Series/Report no.: 
CESifo Working Paper 6305
Abstract: 
We study the dual role of active labour market policies: First, ALMP may perform a screening role by increasing job-finding rates among individuals with good labour market prospects, already prior to programme participation. Second, actual program participation may help individuals with poor labour market prospects. We demonstrate how these effects arise within a search theoretic framework. Utilizing an RD design, we analyse responses to a nationwide Swedish youth activation program. We find that individuals with a high predicted probability of finding work respond to the threat of activation, whereas there is no effect for individuals with weak labour market prospects.
Subjects: 
activation
unemployment
regression discontinuity
screening
JEL: 
J64
J68
I10
Document Type: 
Working Paper

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