Abstract

This paper evaluates and compares the direct effects of the Slovenian institutional training program on youth. The effectiveness of the program is measured by reemployment probability. A nonparametric matching approach, based on conditional independence assumption, is applied to estimate the average program effects. Moreover, the results obtained by matching are compared to results from the Heckman procedure. The results indicate that the institutional training program has a positive effect on employment in the short run, whereas in the long run the effects fall significantly, but are still positive.

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