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Training the Unemployed in France: How Does It Affect Unemployment Duration and Recurrence?

Author

Listed:
  • Crépon, Bruno

    (CREST)

  • Ferracci, Marc

    (CREST-INSEE)

  • Fougère, Denis

    (Sciences Po, Paris)

Abstract
Econometric evaluations of public-sponsored training programmes generally find little evidence of an impact of such policies on transition rates out of unemployment. We perform the first evaluation of training effects for the unemployed adults in France, exploiting a unique longitudinal dataset from the unemployment insurance system. Using the so-called timing-of-events methodology to control for both observed and unobserved heterogeneity, we find that training does not accelerate the exit from unemployment, but has a significant and positive effect on the duration of the subsequent employment spell. Accounting for training duration, we find that longer training spells cause longer unemployment spells, but also longer employment spells, suggesting that training improves the matching process between jobseekers and firms.

Suggested Citation

  • Crépon, Bruno & Ferracci, Marc & Fougère, Denis, 2007. "Training the Unemployed in France: How Does It Affect Unemployment Duration and Recurrence?," IZA Discussion Papers 3215, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp3215
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    unobserved heterogeneity; multiple spells; unemployment duration; training programmes;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
    • J58 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Public Policy

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