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Preliminary Evidence On Impacts Of Active Labor Programs In Hungary And Poland, Christopher J. O'Leary

Upjohn Institute Working Papers

To ease the hardship associated with worker dislocation and to maintain social stability during the transition to markets, the governments of Hungary and Poland provide labor force members with unemployment compensation and a variety of active labor programs (ALPs). Follow-up surveys of participants in retraining, public works, wage subsidies, self-employment, and comparison groups were done in Hungary and Poland in early 1997. Preliminary analysis suggests positive net impacts for most ALPs and additive benefits from the use of the employment service in both countries. Strong evidence of nonrandom assignment to programs means that great care should be used in interpreting …