Labor market policy evaluation with an agent-based model

Neugart, Michael (2006): Labor market policy evaluation with an agent-based model. Unpublished.

Abstract

I develop an agent-based computational economics (ACE) model with which I evaluate the aggregate impact of labor market policies. The findings are that government-financed training measures increase the outflow rate from unemployment to employment. Although the overall effect is positive this effect is achieved by reducing the outflow rate for those who do not receive subsidies. Furthermore, the outflow rate would have been downward-biased had one supposed a matching function that is exogenous to policies.

• Item Type: MPRA Paper
• Institution: Wissenschaftszentrum Berlin für Sozialforschung (WZB)
• Language: English
• Keywords: Labor market policy evaluation; agent-based computational model; endogenous matching function; job displacement
• Subjects: J - Labor and Demographic Economics > J6 - Mobility, Unemployment, and Vacancies > J60 - General; C - Mathematical and Quantitative Methods > C6 - Mathematical Methods and Programming > C63 - Computational Techniques; Simulation Modeling ; J - Labor and Demographic Economics > J6 - Mobility, Unemployment, and Vacancies > J68 - Public Policy