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Publication - Professor Gerard Van den Berg

    COUNSELING AND MONITORING OF UNEMPLOYED WORKERS: THEORY AND EVIDENCE FROM A CONTROLLED SOCIAL EXPERIMENT

    Citation

    van den Berg, GJ & Van Der Klaauw, B, 2006, ‘COUNSELING AND MONITORING OF UNEMPLOYED WORKERS: THEORY AND EVIDENCE FROM A CONTROLLED SOCIAL EXPERIMENT’. International Economic Review., pp. 895?936

    Abstract

    We investigate the effect of counseling and monitoring on the individual transition rate to employment. We theoretically analyze these policies in a job search model with two search channels and endogenous search effort. In the empirical analysis we use unique administrative and survey data concerning a social experiment with full randomization and compliance. The results do not provide evidence that counseling and monitoring affect the exit rate to work. Monitoring causes a shift from informal to formal job search. We combine our empirical results with the results from our theoretical analysis and the existing empirical literature, to establish a comprehensive analysis of the effectiveness of these policies.

    Full details in the University publications repository