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The Relative Efficiency of Active Labour Market Policies: Evidence From a Social Experiment and Non-Parametric Methods

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  • Department of Economics
  • School of Economics and Management
  • Centre for Research in Integration, Education, Qualifications and Marginalization (CIM)
We re-analyze the effects of a Danish active labour market program social experiment, that included a range of sub-treatments, including monitoring,
job search assistance and training. Previous studies have shown that
the overall effect of the experiment is positive. We apply newly developed
non-parametric methods to determine which of the individual policies that
explains the positive effect. The use of non-parametric methods to separate
sub-treatment effects is important from a methodological point of view,
since the alternative, namely parametric/distributional assumptions, is in
conflict with the concept of experimental evidence. Our results are highly
relevant in a policy perspective, as optimal labour market policy design requires
knowledge on the effectiveness of specific policy measures.
Original languageEnglish
Place of publicationAarhus
PublisherDepartment of Economics, University of Aarhus
Number of pages38
ISBN (Print)9788778825261
ISBN (Electronic)9788778825285
Publication statusPublished - 2011

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