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The Relationship between Active Labor Market Programs and Employability of the Long‐Term Unemployed
Author(s) -
Nielsen Arendt Jacob,
Lindegaard Andersen Henrik,
Saaby Morten
Publication year - 2020
Publication title -
labour
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.403
H-Index - 34
eISSN - 1467-9914
pISSN - 1121-7081
DOI - 10.1111/labr.12172
Subject(s) - employability , term (time) , unemployment , outcome (game theory) , labour economics , demographic economics , population , economics , current population survey , economic growth , demography , microeconomics , sociology , physics , quantum mechanics
It can be difficult to document whether active labor market programs are effective for the long‐term unemployed because their transitions to employment are rare. This study examines whether eight measures of employability are useful intermediate outcome measures for the long‐term unemployed. We use a repeated survey linked to administrative register data and estimate three‐way fixed‐effect models. The results show that self‐reported health is a useful outcome measure for the given population of long‐term unemployed in the following sense: Only this measure both predicts subsequent employment and is positively associated with prior participation in an active labor market program compared with non‐participation.