Abstract

This paper contributes to the literature on macroeconometric evaluation of active labour market policies (ALMP) by considering the regional effects on both the matching process and the job-seeker rate. We use an exclusive new data set on all Austrian job-seekers in the years 2001 to 2007 and employ GMM and quasi-ML estimators to take into account both the simultaneity of ALMP and spatial interrelations between employment office districts. The results indicate that job schemes in the non-profit sector, wage subsidies, and apprenticeships cause particularly favourable effects on the regional matching function and the job-seeker rate.