@TechReport{iza:izadps:dp13857, author={Caria, A. Stefano and Franklin, Simon and Witte, Marc J.}, title={Searching with Friends}, year={2020}, month={Nov}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={13857}, url={https://www.iza.org/index.php/publications/dp13857}, abstract={We study how active labor market policies affect the exchange of information and support among jobseekers. Leveraging a unique social network survey in Ethiopia, we find that a randomized job-search assistance intervention reduces information sharing and support between treated jobseekers and their active job-search partners. Due to lower job-search support, untreated individuals search less and, suggestively, have worse employment outcomes. These results are explained by a model of networks where unemployed individuals form job-search partnerships to exploit the complementarities of job search. These partnerships are broken if policy creates inequality in the access to information about job vacancies.}, keywords={job search;social networks;RCT;active labor market policies}, }