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The post-reform effectiveness of the new German start-up subsidy for the unemployed

  • The current German start-up subsidy for unemployed individuals underwent a major reform in 2011 that altered key parameters of the program, leading to ambiguous ex ante predictions on the post-reform effectiveness of the program, making a new evaluation necessary. In our descriptive analysis, we find that participants after the reform differ significantly from pre-reform participants in terms of important characteristics and subsequent labor market performance. Our causal analysis reveals positive and sizable treatment effects on the treated regarding employment and income that are larger effects than what was estimated for the pre-reform program. Potential reasons for this are discussed.

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Metadaten
Author details:Lutz BellmannGND, Marco CaliendoORCiDGND, Stefan TübbickeGND
DOI:https://doi.org/10.1111/labr.12126
ISSN:1121-7081
ISSN:1467-9914
Title of parent work (English):Labour-England
Publisher:Wiley
Place of publishing:Hoboken
Publication type:Article
Language:English
Date of first publication:2018/05/15
Publication year:2018
Release date:2021/10/11
Volume:32
Issue:3
Number of pages:27
First page:293
Last Page:319
Funding institution:Institute for Employment Research (IAB) [1505]
Organizational units:Wirtschafts- und Sozialwissenschaftliche Fakultät / Wirtschaftswissenschaften / Fachgruppe Betriebswirtschaftslehre
DDC classification:3 Sozialwissenschaften / 33 Wirtschaft / 330 Wirtschaft
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