This paper studies the interaction between time inconsistency problems in labor market policy and monetary policy. When both policies are discretionary, there is a positive inflation bias, whereas the bias in labor market programs may be either positive or negative. A commitment of labor market...

TBA

The Swedish experiences of the 1990s provide a unique example of how large-scale active labour market programmes (ALMPs) have been used as a means to fight high unemployment. This paper discusses the mechanisms through which ALMPs affect (un)employment and surveys the empirical studies of the...

Identifying and implementing incentives that give rise to a strong relationship of accountability between service providers and beneficiaries is viewed by many as critical for improving service delivery. How to achieve this in practice and if it at all works, however, remain open questions....