Will cash bonuses speed the return to work of unemployed people? The Illinois Department of Employment Security

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Will cash bonuses speed the return to work of unemployed people? The Illinois Department of Employment Security designed an experiment to find out. The subjects were 10,065 people aged 20 to 54 who were filing claims for unemployment insurance. Some were offered $500 if they found a job within 11 weeks and held it for at least 4 months. Others could tell potential employers that the state would pay the employer $500 for hiring them. A control group got neither kind of bonus.15

a. Describe a completely randomized design for this experiment.

b. Explain how you would use a random number generator to assign the treatments.

c. What is the purpose of the control group in this setting?

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The Practice Of Statistics

ISBN: 9781319113339

6th Edition

Authors: Daren S. Starnes, Josh Tabor

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