Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/35224
Year of Publication: 
2008
Series/Report no.: 
IZA Discussion Papers No. 3687
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
We analyze the consequences of counseling provided to job seekers in a standard job search and matching model. It turns out that neglecting equilibrium effects induced by counseling can lead to wrong conclusions. In particular, counseling can increase steady state unemployment although counseled job seekers exit unemployment at a higher rate than the non-counseled. Dynamic analysis shows that permanent and transitory policies can have effects of opposite sign on unemployment.
Subjects: 
Evaluation
equilibrium effect
labor market policy
JEL: 
J64
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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