@TechReport{iza:izadps:dp10182, author={Webb, Matthew D. and Warman, Casey and Sweetman, Arthur}, title={Targeting Tax Relief at Youth Employment}, year={2016}, month={Aug}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={10182}, url={https://www.iza.org/index.php/publications/dp10182}, abstract={Canada's Youth Hires program was a targeted employment subsidy that rebated employment insurance premiums to employers with net increases in insurable earnings for youth aged 18-24. Using a difference-in-differences approach, in each of two datasets statistically and economically significant employment impacts are observed. Most of the evidence suggests that the 2-2.4 weeks of increased employment resulted from an aggregate reduction in those not in the labour force, with at most a modest change in the unemployment rate. Many estimated effects are larger for males than females. Notably, strong evidence of displacement (substitution away from slightly older non-subsidized workers) is not observed. However, there may be a small reduction in full-time schooling for the targeted group.}, keywords={targeted tax policy;unemployment;unemployment insurance;displacement;youth unemployment}, }