In this week's external seminar, Bas van der Klaauw (VU Amsterdam) will present his paper "Estimating equilibrium effects of job search assistance".
Bas van der Klaauw
Randomized experiments provide policy relevant treatment effects if there are no spillovers between participants and nonparticipants. We show that this assumption is violated for a Danish activation program for unemployed workers. Using a difference-in-difference model we show that the nonparticipants in the experiment regions find jobs slower after the introduction of the activation program (relative to workers in other regions). We then estimate an equilibrium search model. This model shows that a large scale role out of the activation program decreases welfare, while a standard partial microeconometric cost-benefit analysis would conclude the opposite.
You can find Bas's paper here: http://personal.vu.nl/b.vander.klaauw/DanishExperiment.htm
Staff and PhD students who would like to meet with Bas, please contact Maris Goldmanis will be co-ordinating this seminar.