How a Mandatory Activation Program Reduces Unemployment Durations: The Effects of Distance

B.K. Graversen, J.C. van Ours

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Abstract

In an experimental setting some Danish unemployed workers were assigned to an activation program while others were not. Unemployed who were assigned to the activation program found a job more quickly. We show that the activation effect increases with the distance between the place of residence of the unemployed worker and the place where the activation took place. We also find that the quality of the post-unemployment jobs was not affected by the activation program. Both findings confirm that activation programs mainly work because they are compulsory and unemployed don’t like them.
Original languageEnglish
Place of PublicationTilburg
PublisherMicroeconomics
Number of pages35
Volume2009-18
Publication statusPublished - 2009

Publication series

NameCentER Discussion Paper
Volume2009-18

Keywords

  • Unemployment insurance
  • unemployment duration
  • experiment
  • activation programs

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  • Cite this

    Graversen, B. K., & van Ours, J. C. (2009). How a Mandatory Activation Program Reduces Unemployment Durations: The Effects of Distance. (CentER Discussion Paper; Vol. 2009-18). Microeconomics.