@TechReport{iza:izadps:dp6748, author={Gautier, Pieter A. and Muller, Paul and Klaauw, Bas van der and Rosholm, Michael and Svarer, Michael}, title={Estimating Equilibrium Effects of Job Search Assistance}, year={2012}, month={Jul}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={6748}, url={https://www.iza.org/publications/dp6748}, abstract={Randomized experiments provide policy relevant treatment effects if there are no spillovers between participants and nonparticipants. We show that this assumption is violated for a Danish activation program for unemployed workers. Using a difference-in-difference model we show that the nonparticipants in the experiment regions find jobs slower after the introduction of the activation program (relative to workers in other regions). We then estimate an equilibrium search model. This model shows that a large scale role out of the activation program decreases welfare, while a standard partial microeconometric cost-benefit analysis would conclude the opposite.}, keywords={job search;policy-relevant treatment effects;randomized experiment;externalities;indirect inference}, }