Faculty of Economics and Business Administration Publications Database

Sectoral Heterogeneity in the Employment Effects of Job Creation Schemes in Germany

Caliendo, Marco
Thomsen, Stephan L.
Volume: 226
Number: 2
Pages: 139 - 179
ISSN-Print: 2366-049X
Link External Source: Online Version
Year: 2006

Job creation schemes (JCS) have been one important programme of active labour market policy in Germany aiming at the re-integration of hard-to-place unemployed individuals into regular employment. In contrast to earlier evaluation studies of these programmes based on survey data, we use administrative data containing more than 11,000 participants for our analysis and hence, can take effect heterogeneity explicitly into account. We focus on effect heterogeneity caused by differences in the implementation of programmes (economic sector, types of support and implementing institutions). The results are rather discouraging and show that in general, JCS are unable to improve the re-integration chances of participants into regular employment.