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The Long-Term Impacts of Vocational Rehabilitation
By Westlie, Lars
Memorandum 25/2008
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Abstract |
This paper investigates empirically how five different vocational rehabilitation (VR)
programs affect the transition rate into employment, the consecutive monthly earnings
and the employment duration. VR programs increase the employment probability of the
participants, but this effect varies substantially between the different programs. VR
programs also lead to more stable jobs while the impact on monthly earnings is of minor
magnitude. The costs and revenues of the VR programs are calculated, based on the
estimated model. The results of wage subsidies, public education and work training in
ordinary firms are noteworthy. The employment effect is clearly the strongest factor
relative to the job quality effects, in describing the economic return of the VR programs. |
| JEL Classification:
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C14, C15, C41, D61, I21, J24, J64 |
| Keywords:
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Vocational rehabilitation, program evaluation, multivariate hazards, costbenefit
analysis |
| Project:
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1391 Strategic Institute Program on Labor Market and Pension Research
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| Financing:
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Norwegian Ministry of Labor and Social Inclusion and of
Ministry of Finance |
| Contact:
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lars.westlie@frisch.uio.no |
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[Full Text PDF]
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