Can training programs or rather wage subsidies bring the unemployed back to work? A theoretical and empirical investigation for Germany.

Autor/in	Neubäumer, Renate
Institution	Forschungsinstitut zur Zukunft der Arbeit
Titel	Can training programs or rather wage subsidies bring the unemployed back to work? A theoretical and empirical investigation for Germany. Gefälligkeitsübersetzung: Bringen Trainingsprogramme oder Lohnsubventionen die Arbeitslosen wieder in Arbeit? Eine theoretische und empirische Untersuchung für Deutschland.
Quelle	Bonn (2010), 34 S.; 232 KB PDF als Volltext kostenfreie Datei (1); PDF als Volltext kostenfreie Datei (2) Link als defekt meldenVerfügbarkeit
Reihe	IZA discussion paper. 4864
Beigaben	grafische Darstellungen
Sprache	deutsch
Dokumenttyp	online; Monographie; Graue Literatur
Schlagwörter	Aktivierung; Humankapital; Beschäftigungseffekt; Lohnsubvention; Personalauswahl; Berufsbildung; Arbeitsaufnahme; Arbeitsloser; Arbeitslosigkeit; Arbeitsmarktpolitik; Arbeitsuche; Arbeitsvermittlung; Weiterbildungsförderung; Arbeitspapier
Abstract	"Our paper investigates the relative effects of wage subsidies and further vocational training on the subsequent employment prospects of previously unemployed program participants. First, we outline a theoretical approach based on a firm's hiring decision. For the relative effectiveness of both labor market programs the assumption concerning the formation of human capital is crucial and leads to competing hypotheses for the medium and long term. On the assumption that wage subsidies have no effect on human capital they improve individuals' employment prospects less than training programs. Contrariwise, on the assumption that the formation of human capital on subsidized jobs equals that by formal training subsidization has the same employment effect as a training program. Second, we test the two hypotheses empirically, using a large administrative data set from Germany and statistical matching techniques. Our treatment groups consist of unemployed persons taking up subsidized employment or entering a further vocational training program, respectively, during March 2003. To exclude unemployment after program end we estimate the effect of keeping a subsidized job versus participating in training and taking up a job immediately afterwards. The results strongly support the latter of our competing hypotheses: Previously subsidized individuals and trained individuals who found a job immediately afterwards have the same employment rates. This leads to the conclusion that firms value training on a subsidized job as much as formal training programs." Die Untersuchung enthält quantitative Daten. Forschungsmethode: Sekundäranalyse; empirisch; empirisch-quantitativ; Theorieanwendung. Die Untersuchung bezieht sich auf den Zeitraum 2003 bis 2003. (author's abstract, IAB-Doku).
Erfasst von	Institut für Arbeitsmarkt- und Berufsforschung, Nürnberg
Update	2010/4