SummaryWe study the effects of the Internet on regional price differences. Comparing two Dutch regions, we find that before the rise of the Internet, price differences of used cars between those regions amounted to some 11-15%, controlling for mileage, age, fuel type and engine volume. These price differences have completely disappeared after the rise of the Internet, in particular a website that allows consumers to make detailed comparisons between almost all used cars for sale in the Netherlands.
Samenvatting
Welke handelings- en interventiestrategieën van gemeenten dragen bij aan perspectief op werk en een verbetering van het welbevinden en vertrouwen van mensen in de bijstand? Zes gemeenten – Groningen, Utrecht, Tilburg, Wageningen, Deventer en Nijmegen – hebben de afgelopen jaren (van 1 oktober 2017 tot 31 december 2019) unieke randomised controlled trials uitgevoerd in de bijstand. De volgende (combinatie van) interventies zijn onderzocht: ontheffing van re-integratieverplichtingen, intensivering van begeleiding en vrijlating van bijverdiensten. Er is zowel gekeken naar uitstroom naar werk als naar baanzoekintensiteit, welbevinden, zelfredzaamheid en sociaal vertrouwen. De uitstroom naar werk is bij alle interventies niet lager dan de huidige aanpak, terwijl de uitstroom naar deeltijdwerk in sommige gemeenten hoger is. Vooral intensivering op maat en vrijlating kan uitstroom naar werk (minimaal in deeltijd) vergroten. Voor wat betreft de effecten op baanzoekintensiteit, zelfredzaamheid, welbevinden en vertrouwen, is het beeld diffuus. We vinden kleine en soms ook positieve effecten, vooral voor zelfredzaamheid en vertrouwen, maar het beeld is niet eenduidig. De kleine aantallen deelnemers in de experimenten maken het lastig statistisch significante effecten te vinden.
Most structural models for labour supply ignore the possibility of involuntary unemployment which may lead to biased behavioural responses. This may have important policy implications. We estimate a structural model for labour supply without and with involuntary unemployment for the Netherlands, using data for the period 2006-2009. We estimate both models for four groups separately: singles without children, single parents, couples without children and couples with children. We use information on job search behaviour to estimate the determinants of involuntary unemployment. We find that average labour supply elasticities are only slightly lower in the model with involuntary unemployment than in the model without involuntary unemployment. The main reason for this small bias is the relatively small share of individuals who are involuntary unemployed in the period 2006-2009. A simulation of tax-benefit reforms confirms that the upward bias in average labour supply responses is limited in the model without involuntary unemployment. Only for subgroups with a high risk of being involuntary unemployed, such as lower educated individuals and immigrants, we find a relatively large upward bias in labour supply elasticities in the model without involuntary unemployment.
We combine the strengths of structural models and natural experiments in an analysis of tax-benefit reforms in the Netherlands. We first estimate structural discrete-choice models for labour supply. Next, we simulate key past reforms and compare the predictions of the structural model with the outcomes of quasi-experimental studies. The structural model predicts the treatment effects well. The structural model then allows us to conduct counterfactual policy analysis. Policies targeted at working mothers with young children generate the largest labour supply responses but generate little additional government revenue. Introducing a flat tax, basic income or joint taxation is not effective.
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