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Throughout the Middle East, unemployment rates of educated youth have been persistently high and female labor force participation, low. This paper studies the impact of a randomized experiment in Jordan designed to assist female community college graduates find employment. One randomly chosen group of graduates was given a voucher that would pay an employer a subsidy equivalent to the minimum wage for up to 6 months if they hired the graduate; a second group was invited to attend 45 hours of employability skills training designed to provide them with the soft skills employers say graduates often lack; a third group was offered both interventions; and the fourth group forms the control group. The analysis finds that the job voucher led to a 40 percentage point increase in employment in the short-run, but that most of this employment is not formal, and that the average effect is much smaller and no longer statistically significant 4 months after the voucher period has ended. The voucher does appear to have persistent impacts outside the capital, where it almost doubles the employment rate of graduates, but this appears likely to largely reflect displacement effects. Soft-skills training has no average impact on employment, although again there is a weakly significant impact outside the capital. The authors elicit the expectations of academics and development professionals to demonstrate that these findings are novel and unexpected. The results suggest that wage subsidies can help increase employment in the short term, but are not a panacea for the problems of high urban female youth unemployment.

Access to Finance --- Displacement --- Impact Expectations --- Labor Markets --- Labor Policies --- Macroeconomics and Economic Growth --- Primary Education --- Randomized Experiment --- Social Protections and Labor --- Soft skills --- Tertiary Education --- Wage subsidy --- Youth unemployment

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Evaluations of employment programs usually focus on direct impacts on participants. Yet employment programs can have a range of indirect effects that are rarely quantified. This paper analyzes the impact of a subsidized apprenticeship program offering dual on-the-job and theoretical training in Cote d'Ivoire. The experiment simultaneously randomized whether apprenticeship positions opened by firms were filled by the program, and whether interested youths were assigned to a formal apprenticeship. This design allows for estimating direct impacts on youths and indirect impacts on firms selected to host apprentices. The analysis identifies whether individuals forgo other employment or training opportunities, and whether firms replace other workers with program participants. The share of youths in apprenticeships increased by 52.8 percentage points. This estimate accounts for a significant windfall effect: 26 percent of the formal apprentices who were placed substituted out of traditional apprenticeships. The inflow of apprentices into firms increased significantly, but also induced substitution effects, as firms hired 0.23 fewer traditional apprentices per formal apprentice placed. Overall, the net number of apprenticeship positions created was between 51 and 74 percent of the number of formal apprentices placed. In the short term, impacts on earnings were not significant for youths, but firms benefited from an increase in the net value of work provided by apprentices.

Apprenticeship --- Direct Effects --- Education --- Employment --- Employment and Unemployment --- Equilibrium Effects --- Field Experiment --- Indirect Effects --- International Economics and Trade --- International Trade and Trade Rules --- Skills Development and Labor Force Training --- Small Enterprises --- Social Protections and Labor --- Training --- Vocational and Technical Education --- Vocational Education and Technical Training --- Wage Subsidy