Monitoring job search effort: An evaluation based on a regression discontinuity design

Since July 2004, the job search effort of long-term unemployed benefit claimants has been monitored in Belgium. We exploit the discontinuity in the treatment assignment at the age of 30 present in the first year of the reform to evaluate the effect of a notification sent at least eight months before...

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Bibliographic Details
Published in:Labour economics 2012-10, Vol.19 (5), p.729-737
Main Authors: Cockx, Bart, Dejemeppe, Muriel
Format: Article
Language:English
Subjects:
Evaluation
Job hunting
Labor economics
Monitoring job search
Regression analysis
Regression discontinuity
Studies
Unemployment benefits
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Summary:Since July 2004, the job search effort of long-term unemployed benefit claimants has been monitored in Belgium. We exploit the discontinuity in the treatment assignment at the age of 30 present in the first year of the reform to evaluate the effect of a notification sent at least eight months before job search is verified. Eight months after this notification and prior to the first monitoring interview, transitions to employment have increased by nearly nine percentage points compared to the counterfactual of no reform. Participation in training is raised, but not significantly, while withdrawals from the labor force are not affected. ► Since 2004, the search effort of long-term unemployed has been monitored in Belgium. ► We evaluate the effect of a notification sent at least 8months before monitoring. ► The estimation is based on a regression discontinuity design at the age of 30. ► The notification increases the job finding rate by nearly 9 percentage points.
ISSN:0927-5371
1879-1034
DOI:10.1016/j.labeco.2012.05.017