Welfare to work: Sticks rather than carrots

Rising unemployment has forced policymakers to look for ways to get the unemployed back to work – to raise the “reemployment” rate of the unemployed. This column provides new evidence from the Netherlands suggesting that the stick of benefit sanctions is much more effective than the carrot of reemployment bonuses. Read the complete opinion piece on VOXEU by Bas van der Klaauw and Jan van Ours here.