Long-run effects of youth training programs: experimental evidence from Argentina

We study the effect of a job training program for low-income youth in Cordoba, Argentina. The program included life-skills and vocational training, as well as internships with private sector employers. Participants were allocated by means of a public lottery. We rely on administrative data on formal...

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Autores principales: Alzúa, María Laura, Cruces, Guillermo Antonio, López, Carolina
Formato: Articulo Documento de trabajo
Lenguaje:Inglés
Publicado: 2016
Materias:
Acceso en línea:http://sedici.unlp.edu.ar/handle/10915/127367
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id I19-R120-10915-127367
record_format dspace
institution Universidad Nacional de La Plata
institution_str I-19
repository_str R-120
collection SEDICI (UNLP)
language Inglés
topic Ciencias Económicas
JEL: J08, J24, J68, O15
youth labor training programs
youth unemployment
field experiment
spellingShingle Ciencias Económicas
JEL: J08, J24, J68, O15
youth labor training programs
youth unemployment
field experiment
Alzúa, María Laura
Cruces, Guillermo Antonio
López, Carolina
Long-run effects of youth training programs: experimental evidence from Argentina
topic_facet Ciencias Económicas
JEL: J08, J24, J68, O15
youth labor training programs
youth unemployment
field experiment
description We study the effect of a job training program for low-income youth in Cordoba, Argentina. The program included life-skills and vocational training, as well as internships with private sector employers. Participants were allocated by means of a public lottery. We rely on administrative data on formal employment, employment spells, and earnings, to establish the effects of the program in the short term (18 months), but also—exceptionally for programs of this type in Latin America and in developing countries in general—in the medium term (33 months) and in the long term (48 months). The results indicate sizable gains of about 8 percentage points in formal employment in the short term (about 32% higher than the control group), although these effects dissipate in the medium and in the long term. Contrary to previous results for similar programs in the region, the effects are substantially larger for men, although they also seem to fade in the long run. Program participants also exhibit earnings about 40% higher than those in the control group, and an analysis of bounds indicates that these gains result from both higher employment levels and higher wages. The detailed administrative records also allow us to shed some light on the possible mechanisms underlying these effects. A dynamic analysis of employment transitions indicates that the program operated through an increase in the persistence of employment rather than from more frequent entries into employment. The earnings effect and the higher persistence of employment suggest that the program was successful in increasing the human capital of participants, although the transient nature of these results may also reflect better matches from a program-induced increase in informal contacts or formal intermediation.
format Articulo
Documento de trabajo
author Alzúa, María Laura
Cruces, Guillermo Antonio
López, Carolina
author_facet Alzúa, María Laura
Cruces, Guillermo Antonio
López, Carolina
author_sort Alzúa, María Laura
title Long-run effects of youth training programs: experimental evidence from Argentina
title_short Long-run effects of youth training programs: experimental evidence from Argentina
title_full Long-run effects of youth training programs: experimental evidence from Argentina
title_fullStr Long-run effects of youth training programs: experimental evidence from Argentina
title_full_unstemmed Long-run effects of youth training programs: experimental evidence from Argentina
title_sort long-run effects of youth training programs: experimental evidence from argentina
publishDate 2016
url http://sedici.unlp.edu.ar/handle/10915/127367
work_keys_str_mv AT alzuamarialaura longruneffectsofyouthtrainingprogramsexperimentalevidencefromargentina
AT crucesguillermoantonio longruneffectsofyouthtrainingprogramsexperimentalevidencefromargentina
AT lopezcarolina longruneffectsofyouthtrainingprogramsexperimentalevidencefromargentina
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