Estimating equilibrium effects of job search assistance

Paul Muller, Bas van der Klaauw, P.A. Gautier, Michael Rosholm, Michael Svarer

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Abstract

Identifying policy-relevant treatment effects from randomized experiments requires the absence of spillovers between participants and nonparticipants (SUTVA) or variation in observed treatment levels. We find that SUTVA is violated for a Danish activation program for unemployed workers. Using a difference-in-differences model, we show that nonparticipants in the experiment regions find jobs more slowly after the introduction of the program than workers.

Original languageEnglish
Pages (from-to)1073-1125
Number of pages53
JournalJournal of Labor Economics
Volume36
Issue number4
Early online date31 Jul 2018
DOIs
Publication statusPublished - Oct 2018

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