An Illustration of the Returns to Training Programmes: The Evaluation of the "Qualifying Contract" in France

We evaluate the labour market outcomes of a French training programme for youth, using a non-experimental sample of individuals who completed their studies (or dropped out) in 1998 and were observed until 2003. We use propensity score matching to estimate the impact of participation on three outcome variables: the net monthly wage, the monthly income and the probability of employment. We find a positive impact of participation on all three outcome variables. Non parametric robustness checks confirmed our results. We explain these results, which contrast with those of previous French studies, by the very strong training content of the programme