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Treatment Evaluation With Selective Participation and Ineligibles
Uppsala University, Units outside the University, Office of Labour Market Policy Evaluation.
2013 (English)In: Journal of the American Statistical Association, ISSN 0162-1459, E-ISSN 1537-274X, Vol. 108, no 502, 441-455 p.Article in journal (Refereed) Published
Abstract [en]

Matching methods for treatment evaluation based on a conditional independence assumption do not balance selective unobserved differences between treated and nontreated. We derive a simple correction term if there is an instrument that shifts the treatment probability to zero in specific cases. Policies with eligibility restrictions, where treatment is impossible if some variable exceeds a certain value, provide a natural application. In an empirical analysis, we exploit the age eligibility restriction in the Swedish Youth Practice subsidized work program for young unemployed, where compliance is imperfect among the young. Adjusting the matching estimator for selectivity changes the results toward making subsidized work detrimental in moving individuals into employment.

Place, publisher, year, edition, pages
2013. Vol. 108, no 502, 441-455 p.
Keyword [en]
Matching methods, Policy evaluation, Propensity score, Regression discontinuity, Selection, Subsidized work, Treatment effect, Youth unemployment
National Category
Social Sciences
Identifiers
URN: urn:nbn:se:uu:diva-206663DOI: 10.1080/01621459.2013.795447ISI: 000321727700007OAI: oai:DiVA.org:uu-206663DiVA: diva2:645139
Available from: 2013-09-03 Created: 2013-09-02 Last updated: 2017-12-06Bibliographically approved

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