Subsidizing Vocational Training for Disadvantaged Youth in Colombia: Evidence from a Randomized Trial

Vocational training programs increase young women’s actual wages and opportunities for paid employment in the formal sector.

Introduction

Developing marketable skills is one of the key long-term ways to fight unemployment, poverty, and crime. Yet, interventions improving educational quality and access arrive too late for individuals already outside the formal education system. Vocational training programs have emerged as a potential solution. Although the benefits of training programs are straightforward, there is little to no evidence on their actual impact on economic outcomes, especially in middle- and low-income countries. This paper examines the labor market effects of the Jóvenes en Acción vocational training program, which targeted poor urban young adults in Colombia.

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