DOES TRADE ADJUSTMENT ASSISTANCE MAKE A DIFFERENCE?

The U.S. Trade Adjustment Assistance (TAA) program provides workers who have lost their jobs due to increased trade with income support and training, job search, and relocation benefits. This paper uses data collected by the Department of Labor on TAA beneficiaries to provide the most recent econome...

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Detalles Bibliográficos
Publicado en:Contemporary Economic Policy Vol. 30; no. 1; pp. 43 - 60
Autores principales: REYNOLDS, KARA M., PALATUCCI, JOHN S.
Formato: Artículo
Publicado: Wiley-Blackwell Jan2012
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Acceso en línea:Ver este registro en EBSCOhost
Descripción
Sumario:The U.S. Trade Adjustment Assistance (TAA) program provides workers who have lost their jobs due to increased trade with income support and training, job search, and relocation benefits. This paper uses data collected by the Department of Labor on TAA beneficiaries to provide the most recent econometric evaluation of the effectiveness of the TAA program. Summary statistics suggest that the TAA program successfully targets displaced workers who have a greater difficulty finding new employment. However, using propensity score matching techniques we find that while the required training component of the program improves the employment outcomes of beneficiaries, on average the TAA program has no discernible impact on the employment outcomes of the participants. ( JEL F16)