Decentralisation of Active Labour Market Policy: The Case of Swedish Local Employment Service Committees

Särtryck nr 2006:27

Författare: Martin Lundin och Per SkedingerÅr: 2006 Publikation: Journal of Public Economics Årgång (nr): 90 (4-5) Sidor: 775–798

Decentralisation of decision-making in labour market policy may increase efficiency, since local authorities have first-hand knowledge about local labour market problems. However, decentralisation may also be associated with fiscal externalities generating misallocation. The purpose of this study is to examine the effects of a Swedish pilot programme in 1996, which strengthened the role of the local authorities in labour market policy in certain regions. Our econometric findings do not indicate any increase in geographical lock-in of the unemployed, but decentralisation seems to spur local initiatives in the form of projects organised by the municipalities and increase targeting on outsiders in the labour market. The latter result is consistent with the hypothesis that municipalities used their increasing influence in order to improve municipal budgets at the expense of the central government.

Lundin, Martin och Per Skedinger (2006), "Decentralisation of Active Labour Market Policy: The Case of Swedish Local Employment Service Committees". Journal of Public Economics 90(4-5), 775–798.

Per Skedinger


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Aktuell forskare

Matilda Orth

Forskningsområden: Industriell organisation, tjänstesektorn och detaljhandel

Några av de frågor Matilda Orth försöker besvara i sin forskning:

  • Vilken roll har regleringar av nya butiker för vinster, produktivitet och marknadsstruktur?
  • Hur påverkar stormarknadsetableringar produktivitet och utslagning av existerande butiker?

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