Measuring the Effect of Subsidized Training Programs on Movements In andOut of Employment / David Card, Daniel Sullivan.

Format:

Book

Author/Creator:

Card, David.

Contributor:

National Bureau of Economic Research.

Sullivan, Daniel.

Series:

Working Paper Series (National Bureau of Economic Research) no. w2173.

NBER working paper series no. w2173

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1987.

Summary:

We present a variety of alternative estimates of the effect of training on the probability of employment for adult male participants in the 1976 Comprehensive Employment and Training Act (CETA) program. Our results suggest that CETA participation increased the probability of employment in the three years after training by from 2 to 5 percentage points. Classroom training programs appear to have had significantly larger effects than on-the--job programs, although the estimated effects of both kinds of programs are consistently positive. We also find that movements in and out of employment for the trainees and a control group of nonparticipants are reasonably well described by a first-order Markov process, conditional on individual heterogeneity. In the context of this model, CETA participation appears to have increased both the probability of moving into employment, and the probability of continuing employment.

Notes:

Print version record

February 1987.