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Economic Evaluation of the Training Opportunities Programme in New Zealand

Author

Listed:
  • Geoff Perry

    (Auckland University of Technology)

  • Tim Maloney

    (University of Auckland)

Abstract

It is well accepted that a highly educated and well trained labour force is a precondition for sustained economic growth and development, and that the labour market outcomes for individuals are enhanced with higher levels of education and training. Recognition of these facts has influenced the types of active labour market programmes that are provided for the unemployed by governments throughout the OECD, with particular emphasis on training. In New Zealand, the Training Opportunities scheme, introduced in the early 1990’s, remains today the major active labour market programme for the unemployed. This paper contributes to the literature in two ways. Firstly, the impact on male participants of being involved in Training Opportunities in the mid 1990’s is evaluated. Secondly, short and medium term impacts for men are estimated using Difference-in-Differences matching, with careful attention to methodological concerns. The key findings are that while there is a short term beneficial effect for the programme as a whole, this is not consistent across all sub-groups. Further, the beneficial effect dissipates by the second year after receiving the intervention

Suggested Citation

  • Geoff Perry & Tim Maloney, 2008. "Economic Evaluation of the Training Opportunities Programme in New Zealand," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 11(2), pages 163-185.
    • Handle: RePEc:ozl:journl:v:11:y:2008:i:2:p:163-185
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    References listed on IDEAS

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    More about this item

    Keywords

    Labour Economics Policies; Human Capital; Skills; Unemployment; Models; Duration; Incidence and Job Search;
    All these keywords.

    JEL classification:

    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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