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Manpower Training Programmes and Employment Stability

Josef Zweimüller and Rudolf Winter-Ebmer
Economica
New Series, Vol. 63, No. 249 (Feb., 1996), pp. 113-130
DOI: 10.2307/2554637
Stable URL: http://www.jstor.org/stable/2554637
Page Count: 18
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Manpower Training Programmes and Employment Stability
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Abstract

We evaluate Austrian labour market policy focusing on its possible effects upon recurrent unemployment. Without properly considering the selection processes for public training programmes, misleading results emerge. Taking the participation decision into account in a bivariate probit setting, Austrian manpower training programmes turn out to be a sort of 'catching up': (i) disadvantaged and less motivated job-seekers are given priority in enrolment into training programmes, and (ii) participation in such courses improves employment stability significantly.

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