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The Adult Education Initiative in Sweden: Second Year Effects on Wage Earnings and the Influence on BranchMobility
Umeå University, Faculty of Social Sciences, Department of Economics.
2003 (English)Manuscript (preprint) (Other academic)
Abstract [en]

 This paper presents a follow up study of earlier economic evaluations of the Adult Education Initiative (AEI) in Sweden. The AEI was foremost directed to those unemployed and involved comprehensive education at compulsory or upper secondary levels. The AEI is compared with the vocational part of Labor Market Training (LMT). Outcome variables are annual wage earnings in 1999 and in 2000 as well as mobility between branches of employment. The estimated effects on wage earnings of the AEI relative to LMT are negative for both the samples enrolled in 1997 and in 1998. Selection model estimates indicate positive selection on unobservables into the AEI, which is larger for those enrolled in 1998. For the sample enrolled in 1997, the earnings effects of the AEI is relatively more beneficial in 2000 than in 1999. Results on mobility indicate that AEI participants had a lower probability of changing branch of employment and a relatively stronger attachment to the public service sector.

Place, publisher, year, edition, pages
2003.
Keyword [en]
Selection, adult education, wage earnings, mobility
National Category
Economics
Identifiers
URN: urn:nbn:se:umu:diva-3487OAI: oai:DiVA.org:umu-3487DiVA: diva2:142215
Available from: 2004-01-30 Created: 2004-01-30 Last updated: 2012-04-03Bibliographically approved
In thesis
1. An evaluation of the adult education initiative relative labor market training
Open this publication in new window or tab >>An evaluation of the adult education initiative relative labor market training
2003 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

This thesis consists of three papers which evaluate the effects of the Adult Education Initiative (AEI) in Sweden relative to the vocational part of Labor Market Training (LMT).

Paper [I] studies unemployment incidence and unemployment duration for participants in the AEI relative to LMT. When evaluating the relative program effects on duration, one needs to take into account both the problem of selection and the fact that the outcome variable is right hand censored. The method used is an instrumental variable adaptation of the symmetrically trimmed least squares estimator. A bivariate probit model is used in order to study unemployment incidence. The results indicate a beneficial effect of the AEI relative to LMT on unemployment incidence, but longer duration in unemployment among the AEI participants.

Paper [II] uses annual wage earnings in 1999 to compare the AEI and LMT for individuals that do not continue in education following program completion. Two separate estimation methods are used, the classical selection model and the method of matching on the propensity score. The results of both methods indicate negative effects of the AEI relative to LMT on wage earnings. The earnings effect of the AEI for individuals with a weak position in the labor market is particularly poor, implying that the official target to assist those individuals appear not to have succeeded.

Paper [III] employs data for those enrolled in 1997 as well as 1998 to study the annual wage earnings of 1999 and 2000 and data on attachment to branches of employment before and after program. Data on branches of employment indicate less mobility among the AEI participants. This is largely due to a stronger attachment to the public service sector. The analysis of wage earnings of the sample enrolled in 1997, indicate that the effects on wage earnings tended to be more advantageous for the AEI in 2000 rather than 1999, possibly implying a lag in the effects of the program.

Publisher
13 p.
Series
Umeå economic studies, ISSN 0348-1018 ; 609
Keyword
Economics, Selection, adult education, wage earnings, labor market training, duration, incidence, unemployment, Nationalekonomi
National Category
Economics
Identifiers
urn:nbn:se:umu:diva-186 (URN)91-7305-458-5 (ISBN)
Public defence
2003-09-05, Umeå, 10:15
Available from: 2004-01-30 Created: 2004-01-30 Last updated: 2012-04-03Bibliographically approved

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CiteExportLink to record
Permanent link

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Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
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  • en-US
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  • nn-NO
  • nn-NB
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  • Other locale
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Output format
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  • asciidoc
  • rtf