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American Economic Journal: Applied Economics: Vol. 3 No. 3 (July 2011)

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Subsidizing Vocational Training for Disadvantaged Youth in Colombia: Evidence from a Randomized Trial

Article Citation

Attanasio, Orazio, Adriana Kugler, and Costas Meghir. 2011. "Subsidizing Vocational Training for Disadvantaged Youth in Colombia: Evidence from a Randomized Trial." American Economic Journal: Applied Economics, 3(3): 188-220.

DOI: 10.1257/app.3.3.188

Abstract

This paper evaluates the impact of a randomized training program for disadvantaged youth introduced in Colombia in 2005. This randomized trial offers a unique opportunity to examine the impact of training in a middle income country. We use originally collected data on individuals randomly offered and not offered training. The program raises earnings and employment for women. Women offered training earn 19.6 percent more and have a 0.068 higher probability of paid employment than those not offered training, mainly in formal-sector jobs. Cost-benefit analysis of these results suggests that the program generates much larger net gains than those found in developed countries. (JEL I28, J13, J24, O15)

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Authors

Attanasio, Orazio (U College London)
Kugler, Adriana (Georgetown Public Policy Institute, Georgetown U)
Meghir, Costas (Yale U and U College London)

JEL Classifications

I28: Education: Government Policy
J13: Fertility; Family Planning; Child Care; Children; Youth
J24: Human Capital; Skills; Occupational Choice; Labor Productivity
O15: Economic Development: Human Resources; Human Development; Income Distribution; Migration

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