Authors	Bergemann, A., Caliendo, M., Van den Berg, G. and Zimmermann, K.F.
Year	2011
Reference	International Journal of Manpower, 32(7), 777-795.
Keywords	Immigrants, Policy Evaluation, Reservation Wage, Search Effort, Expectations, Unemployment Duration, Active Labor Market Policy.
JEL-Classification	J64, J61, C21, D83, D84
Download	IZA Discussion Paper No. 5485 from February 2011: PDF
Abstract	Labor market programs may affect unemployed individuals' behavior before they enroll. Such ex ante effects may differ according to ethnic origin. We apply a novel method that relates self-reported perceived treatment rates and job search behavioral outcomes, such as the reservation wage or search intensity, to each other. We compare German native workers with migrants with a Turkish origin or Central and Eastern European (including Russian) background. Job search theory is used to derive theoretical predictions. We examine the omnibus ex ante effect of the German ALMP system, using the novel IZA Evaluation Data Set, which includes self-reported assessments of the variables of interest as well as an unusually detailed amount of information on behavior, attitudes and past outcomes. We find that the ex ante threat effect on the reservation wage and search effort varies considerably among the groups considered.