The long-term effect of a job training programme for youths in Peru

Abstract

This paper evaluates the long-term impact of Projoven, a job training programme for vulnerable youths in Peru, on formal labour market outcomes. Covering a 10-year period, this evaluation offers one of the longest evaluations of a training programme in developing countries. Exploiting an experimental design and administrative data, we find that Projoven improved formal employment and earnings in the short-term, but that these effects quickly disappear, and the programme has no effect in the medium- or longer-term. These results reinforce the importance of training comprehensiveness and relevance.