Experimental Evidence on the Effects of Early Meetings and Activation

Abstract

We analyze the effects of four randomized experiments involving intensive active labour market policy, conducted in Denmark in 2008. The interventions consisted of early and frequent meetings and activation programmes. The effects are remarkable; frequent meetings between newly unemployed workers and case workers increase employment rates over the next two years by 10%. For men, we find evidence of a threat effect of having to participate in early activation programmes. In general, we find large differences between men and women, especially in the dynamics of the effects. A cost-benefit analysis reveals that meetings yield the largest net benefits.