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  • ALGAN Yann (30)
  • CARCILLO Stéphane (13)
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Publication date 2021-05 Collection Sciences Po Economics Discussion Papers : 2021-03
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We ran a large randomized controlled experiment among about 150,000 recipients of unemployment benefits insurance in France in order to evaluate the impact of part-time unemployment benefits. We took advantage of the lack of knowledge of job seekers regarding this program and sent emails presenting the program. The information provision had a significant positive impact on the propensity to work while on claim, but reduced the unemployment exit rate, showing important lock-in effects into unemployment associated with part-time unemployment benefits. The importance of these lock-in effects implies that increasing the marginal tax rate on earnings from work while on claim in the neighborhood of its current level would not decrease labor supply and would decrease the expenditure net of taxes of the unemployment insurance agency.

Publication date 2021-05 Collection Sciences Po Economics Discussion Papers : 2021-04
KRAMARZ Francis
NEVOUX Sandra
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To understand which firms take-up short-time work and which workers they enroll in this program, we provide a model which shows that short-time work may save jobs in firms hit by strong negative revenue shocks, but not in less severely-hit firms, where hours worked are reduced, without saving jobs. Using detailed data on the administration of the program covering the universe of French establishments in the 2008-2009 Great Recession, we find that short-time work did indeed save jobs and increase hours of work in firms faced with large negative shocks. These firms have been able to recover rapidly in the aftermath of the Recession thanks to short-time work. We also provide evidence of large windfall effects which significantly increased the cost of the policy per job saved; yet we also find that short-time work remains more cost-efficient at saving jobs than wage subsidies.

Publication date 2020-04 Collection Sciences Po Economics Discussion Papers : 2020-05
HERVELIN Jérémy
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In France, two years after school completion and getting the same diploma, the employment rate of apprentices is about 15 percentage points higher than that of vocational students. Despite this difference, this paper shows that there is almost no difference between the probability of getting a callback from employers for unemployed youth formerly either apprentices or vocational students. This result indicates that the higher employment rate of apprentices does not rely, in the French context, on better job access of those who do not remain in their training firms. The estimation of a job search and matching model shows that the expansion of apprenticeship has very limited effects on youth unemployment if this is not accompanied by an increase in the retention of apprentices in their training firm.

in The review of economic studies Publication date 2019-03
CARCILLO Stéphane
LE BARBANCHON Thomas
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This paper analyzes the effectiveness of hiring credits. Using comprehensive administrative data, we show that the French hiring credit, implemented during the Great Recession, had significant positive employment effects and no effects on wages. Relying on the quasi-experimental variation in labor cost triggered by the hiring credit, we estimate a structural search and matching model. Simulations of counterfactual policies show that the effectiveness of the hiring credit relied to a large extent on three features: it was nonanticipated, temporary and targeted at jobs with rigid wages. We estimate that the cost per job created by permanent hiring credits, either countercyclical or time-invariant, in an environment with flexible wages would have been much higher.

Publication date 2019-03 Collection Sciences Po Economics Discussion Papers : 2019-03
NEVOUX Sandra
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This paper shows that the reforms which expanded short-time work in France after the great 2008-2009 recession were largely to the benefit of large firms which are recurrent short-time work users. We argue that this expansion of short-time work is an inefficient way to provide insurance to workers, as it entails cross-subsidies which reduce aggregate production. An efficient policy should provide unemployment insurance benefits funded by experience rated employers’ contributions instead of short-time work benefits. We find that short-time work entails significant production losses compared to an unemployment insurance scheme with experience rating.

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At the start of the XXI century, characterized by the rise of new forms of employment and of skills requirements, many countries need to adapt their labor market institutions to accompany technological changes and globalization. In this context, unemployment insurance is an essential tool to foster and smooth career paths. Its core components comprise unemployment benefits paid to full-time unemployed workers, monitoring, and counseling. But it is clear that they are not sufficient to cover all risks properly. To deal with this issue, part-time unemployment insurance, short-time work and wage insurance have been tried, at different scales, in several countries over the last decades. This paper surveys the evaluations of these schemes and draws lessons from their results for future research and for labor market institutions.

in The Future of Social Protection Publication date 2018-11
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This chapter discusses the ongoing efforts to integrate the social protection of self-employed workers into the general social protection system in France. Several autonomous schemes and a complex system of contribution rates and entitlements obscure the relationship between gross and net wages and hinder the mobility of workers across jobs and occupations. While there have been efforts to harmonise the social protection of self-employed workers and employees, differences in coverage and contribution rates remain. The social protection of employees and self-employed workers is also managed by diverse institutions which are imperfectly coordinated. This paper describes the contribution rates and the social protection of various forms of employment in France. It provides information about the different components of the social protection of self-employed people (the organisation of schemes and their financial architecture, membership of the schemes, contributions and benefits) and compares the situation of different kinds of self-employed workers with that of employees. The chapter also discusses a special unemployment scheme for performing artists and related occupations, the Intermittents du spectacle.

Publication date 2018-07 Collection Sciences Po Economics Discussion Papers : 2018-03
KRAMARZ Francis
NEVOUX Sandra
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Short-time work programs were revived by the Great Recession. To understand their operating mechanisms, we first provide a model showing that short-time work may save jobs in firms hit by strong negative revenue shocks, but not in less severely-hit firms, where hours worked are reduced, without saving jobs. The cost of saving jobs is low because short-time work targets those at risk of being destroyed. Using extremely detailed data on the administration of the program covering the universe of French establishments, we devise a causal identification strategy based on the geography of the program that demonstrates that short-time work saved jobs in firms faced with large drops in their revenues during the Great Recession, in particular when highly levered, but only in these firms. The measured cost per saved job is shown to be very low relative to that of other employment policies.

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Le 1er chapitre examine le rôle de la culture d’origine sur la manière dont les jeunes hommes et femmes diffèrent dans leurs choix de retarder le départ du foyer parental. Je montre que dans les cultures caractérisées par des valeurs traditionnelles portant sur les rôles de genre, les jeunes hommes ont plus d’incitations que les jeunes femmes à rester chez leurs parents. Lorsque les femmes de ces cultures vont vivre dans une société plus libérale par rapport aux rôles de genre, elles quittent plus vite le foyer parental et cherchent à trouver un mari d’une culture différente de la leur. Dans le 2e chapitre, nous montrons, à partir d’un testing sur CV, que les jeunes peu qualifiés sont moins rappelés par les employeurs du secteur privé lorsqu’ils sont Maghrébins plutôt que Français. L’origine des candidats n’a pourtant pas d’effet sur le taux de rappel dans le secteur public, même si les recruteurs des deux secteurs ont des préférences discriminatoires similaires. Notre modèle montre que l'absence de discrimination à l’invitation pour un entretien dans le secteur public est compatible, dans ce contexte, avec une discrimination plus forte à l'embauche. Le 3e chapitre s’appuie aussi sur un testing sur CV pour étudier les effets de l’expérience professionnelle des jeunes décrocheurs du secondaire quatre ans après avoir quitté les études. À défaut de formation certifiante, le taux de rappel n’est pas plus élevé pour ceux ayant eu une expérience professionnelle, subventionnée ou non, dans le secteur marchand ou non-marchand par rapport à ceux restés au chômage. De plus, une formation certifiante améliore les taux de rappel uniquement lorsque le taux de chômage local est faible.

Publication date 2017-12 Collection IZA Discussion Papers : 11248
CARCILLO Stéphane
LE BARBANCHON Thomas
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This paper analyzes the effectiveness of hiring credits. Using comprehensive administrative data, we show that the French hiring credit, implemented during the Great Recession, had significant positive employment effects and no effects on wages. Relying on the quasi-experimental variation in labor cost triggered by the hiring credit, we estimate a structural search and matching model. Simulations of counterfactual policies show that the effectiveness of the hiring credit relied to a large extent on three features: it was nonanticipated, temporary and targeted at jobs with rigid wages. We estimate that the cost per job created by permanent hiring credits, either countercyclical or time-invariant, in an environment with flexible wages would have been much higher.

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