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Title: Are Training Programs More Effective When Unemployment Is High?

Author(s): Michael Lechner and Conny Wunsch

Publication Date: November 2006

Keyword(s): active labour market policy, causal effects, long-run effects, matching estimation, panel data and program evaluation

Programme Area(s): Labour Economics

Abstract: We estimate short, medium, and long-run individual labour market effects of training programs for unemployed by following program participation on a monthly basis over a ten-year period. Since analyzing the effectiveness of training over such a long period is impossible with experimental data, we use an administrative database compiled for evaluating German training programs. Based on matching estimation adapted to the various issues that arise in this particular context, we find a clear positive relation between the effectiveness of the programs and the unemployment rate over time.

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Bibliographic Reference

Lechner, M and Wunsch, C. 2006. 'Are Training Programs More Effective When Unemployment Is High?'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=5920